CryptoNewsFlash reports that the founder of Curve, Michael Egorov, has proposed a new DeFi bad debt recovery model aimed at transforming distressed debt positions into tradable investment instruments, allowing market participants to intervene as investors rather than relying on emergency rescue funds. He hopes to shift crisis response from moral obligation to market incentives through this mechanism. The test case for the model will start with Curve's own CRV-Long LlamaLend market, and Egorov plans to pilot it there first before considering expanding the model to other stress scenarios.

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