Michael Egorov, the founder of Curve Finance, is under significant financial pressure as the value of Curve DAO (CRV) tokens plummets. Following a sharp decline of over 25% in the past 24 hours, the token is currently trading at $0.262, putting Egorov's on-chain loans at substantial risk of liquidation.

According to Lookonchain, Egorov holds 111.87 million CRV, valued at $33.87 million, as collateral against $20.6 million in debt across four decentralized finance (DeFi) platforms: Inverse, UwU Lend, Fraxlend, and Curve's LlamaLend. Earlier on Thursday, part of Egorov’s positions was liquidated on Inverse, prompting him to take measures to mitigate further risks.

Egorov’s position on Inverse currently has a health rate of 1.07, with liquidation typically triggered when this rate falls to one. On-chain data indicates that Egorov has begun repaying the borrowed stablecoin DOLA to improve his position. However, his loan on UwU Lend remains underwater.

Blockchain intelligence firm Arkham reported on Wednesday that Egorov’s CRV positions, worth $140 million, were nearing liquidation. The firm noted that Egorov is incurring $60 million in annualized rates to maintain his positions on LlamaLend. Arkham predicted that a 10% drop in CRV’s value would trigger liquidation of Egorov's positions.

In an attempt to manage potential liquidation risks, Egorov sold 106 million CRV for $46 million in August 2023. This move was intended to reduce the outstanding debt across various DeFi platforms, including Aave.

As the CRV token continues to face downward pressure, Egorov’s financial strategy and the stability of his positions will be closely monitored by the DeFi community.