Curve Founder: DeFi Should Generate Income | ETH Drop

Curve Finance Founder Egorov’s DeFi Criticisms

Curve Finance founder Michael Egorov stated in an interview with Cointelegraph that decentralized finance (DeFi) protocols cannot remain dependent on inflationary token incentives for growth. He argued that protocols need to generate real revenue and said, “Yield should come from revenues, not from tokens.” He emphasized that tokens are necessary for decentralization and should not be used for speculation purposes.

DeFi TVL in the last six months. Source: DefiLlama

Egorov stated that the high APYs in the 2020 DeFi summer attracted liquidity with speculative premiums, but today news does not affect token prices and risks are being reassessed. According to DefiLlama data, DeFi TVL fell 38% in the last six months, dropping from $158 billion on August 23, 2025, to $98 billion. He noted that meme coins are attracting speculative interest, retail investors are turning to perpetual futures, and sustainable onchain business models need to compete with revenue generation. Similar views came from Polygon Labs CEO Marc Boiron and Ethereum founder Vitalik Buterin.

Perpetual futures monthly trading volume. Source: DefiLlama

ETH Price Decline and Bitmine Losses

In the last six months, ETH price fell 60%, pressuring DeFi TVL. Bitmine suffered an estimated $8.8 billion in unrealized losses from this decline. This situation, as emphasized in the ETH detailed analysis, is challenging the mining sector.

ETH Technical Outlook and Supports

ETH is currently at $1.856,89, down -4.51% in 24 hours. RSI 30.30 (Oversold), downtrend continues. Strong supports: S1 $1.747,80 (⭐ STRONG, -5.86%), S2 $1.826,83 (⭐ STRONG, -1.61%). Resistances: R1 $1.884,05 (⭐ STRONG, +1.47%). As perpetual futures volume increases, ETH futures should be monitored. EMA20: Could give a recovery signal above $2.084.