Curve Finance Accuses PancakeSwap of Using StableSwap Code Without License

• Curve Finance claims PancakeSwap used StableSwap code without license which raises legal and security concerns in DeFi development.

• PancakeSwap Infinity upgrade added cross chain swaps dynamic fees and lower pool costs across BNB Chain Arbitrum and Base.

• Curve Finance warns that copying StableSwap code without expertise can expose DeFi platforms to serious security exploits.

A dispute has emerged between Curve Finance and PancakeSwap over the use of StableSwap technology in decentralized finance. Curve Finance claims PancakeSwap used parts of its code without proper licensing. The issue surfaced publicly on March 6 through posts shared on X. The disagreement focuses on code tied to stablecoin swap features on PancakeSwap Infinity.

🔐 Curve Finance Alleges PancakeSwap Copied Its Code

Curve Finance has formally accused PancakeSwap of using its code without proper licensing, according to a report from Cointelegraph. The Curve team stated that PancakeSwap must undergo a formal licensing process to collaborate…

— Crynet (@crynetio) March 6, 2026

Curve stated that PancakeSwap integrated logic from its StableSwap system without following licensing terms. The team said the use of the code raises both legal and technical concerns. Additionally, Curve indicated that proper attribution rules apply when developers reuse the code. The matter highlights ongoing challenges around open-source licensing in decentralized finance development.

Curve Finance Raises Licensing Concerns Over StableSwap Code

Curve Finance developed StableSwap to enable efficient trading between stablecoins and tightly pegged digital assets. The automated market maker model reduces slippage during stablecoin trades. It also maintains price stability using a specialized mathematical formula. The formula blends constant product and constant sum curves.

According to Curve, PancakeSwap used components of this system inside its Infinity upgrade. Curve noted that its smart contracts remain open source. However, the license requires developers to follow strict attribution and compliance rules. Curve believes PancakeSwap did not follow these requirements.

The team also shared code comparisons that highlighted the disputed sections. The example suggested that PancakeSwap appeared as the listed author in certain files. However, Curve indicated the logic originally came from its StableSwap design. Consequently, Curve raised concerns about both attribution and licensing compliance.

PancakeSwap Signals Willingness to Discuss the Issue

PancakeSwap acknowledged the dispute shortly after the allegations appeared online. The decentralized exchange stated it would contact Curve Finance directly. The response indicated interest in resolving the matter through discussion. Curve later signaled openness to cooperation rather than conflict.

Meanwhile, industry observers view the dispute as a reminder of licensing obligations in open-source finance software. DeFi developers often reuse existing code to accelerate product development. However, licenses still require compliance even when projects share technology publicly.

Neither Curve Finance nor PancakeSwap provided additional responses before publication. Media inquiries sent to both teams received no reply at the time of reporting.

PancakeSwap Infinity Upgrade Expands Cross-Chain Trading Features

The dispute relates to PancakeSwap Infinity, the latest version of the PancakeSwap decentralized exchange. The platform launched on BNB Chain and the Arbitrum network in April 2025. The update introduced cross-chain swaps that move assets across blockchain networks. Users can complete these transfers with a single transaction.

The upgrade also added programmable smart contract hooks for liquidity pools. These hooks allow dynamic fees and customized rebates for traders. Additionally, the system supports onchain limit orders triggered by preset conditions. PancakeSwap said the changes aim to support more advanced liquidity strategies.

Infinity also lowered pool creation costs by up to 99%. The change made it easier for developers to launch liquidity pools. Later in July 2025, PancakeSwap deployed the system on Base, an Ethereum layer-2 network.

The Base deployment reduced trading fees for Ether and ERC-20 token pairs by up to 50 percent. ERC-20 remains the standard token format across the Ethereum ecosystem. Many governance tokens and memecoins rely on the same framework. Additionally, PancakeSwap launched its first Initial Farm Offering (IFO) on Arbitrum in 2024.

Security Risks Highlight DeFi Code Reuse Challenges

Curve Finance also warned about security risks linked to improper code integration. The team pointed to past incidents where copied swap code created vulnerabilities. Several decentralized finance platforms suffered exploits after modifying complex liquidity algorithms.

For example, Saddle Finance experienced a major hack in 2022 linked to swap logic weaknesses. Similarly, DeFi protocol Balancer lost around $116 million during a 2025 exploit. Both cases highlighted the risks tied to automated market maker implementations.

Curve emphasized that StableSwap requires deep technical understanding to deploy safely. The protocol argued that incorrect implementations can expose liquidity pools to attacks. Therefore, the team encouraged projects to seek proper collaboration when using the technology.