The DeFi protocol Curve Finance has launched the second version of its lending platform, LlamaLend, on the L2 network Optimism. This initiative aims to scale the infrastructure ahead of its mainnet launch on Ethereum.

Introducing Llamalend v2

A new lending framework built around Curve liquidity

— Use Curve LP tokens as collateral
— Isolated market risk
— Improved range-based liquidations powered by LLAMMA
— Better market security

Launching first on Optimism.https://t.co/6N74weKk0j pic.twitter.com/cO159UNE5A

— Curve Finance (@CurveFinance) June 10, 2026

The launch was supported by the Optimism Foundation, which provided a grant of 250,000 OP (approximately $50,000). These funds will be used to incentivize liquidity and user activity over the next two months.

In LlamaLend V2, developers have removed the requirement to use the stablecoin crvUSD in lending pairs. Users can now create markets with virtually any combination of assets. The protocol has also begun accepting Curve LP tokens and Pendle PT tokens as collateral.

Curve founder Mikhail Egorov noted that the update will simplify the platform for larger players:

“We aimed to make the protocol more user-friendly. Users no longer need a PhD to use LlamaLend.”

A significant change is the introduction of a market curator in the form of the LlamaRisk team. In the first version, anyone could create isolated pools, which, according to Egorov, added unnecessary complexity in assessing risks. Now, LlamaRisk will conduct thorough evaluations of collateral assets.

At launch on Optimism, there is a zero borrowing limit—currently, users can only make deposits. A full launch of the lending markets and the start of reward distribution is expected on June 16, following a seven-day voting period by Curve DAO.

The deployment of LlamaLend V2 on the Ethereum mainnet is planned for the second half of 2026.

Recall that in April, Egorov presented a solution to the issue of "bad" debts, proposing to convert deficit positions into tradable investment instruments.