Compound (COMP) is an innovative decentralized finance (DeFi) protocol developed by Compound Labs Inc., founded in 2017 by Robert Leshner and Geoffrey Hayes. Headquartered in the San Francisco Bay Area, the company is backed by top-tier investors like a16z, Bain Capital, Coinbase, and Polychain Capital, having raised $33.2 million across funding rounds.
Key Features of Compound (COMP)
- Mission: Addresses idle crypto assets by enabling interest generation.
- Launch: Mainnet debut in September 2018; upgraded to v2 in May 2019.
- Supported Assets: BAT, ETH, USDC, DAI, WBTC, and more.
- Governance: Transitioned to community-driven governance in May 2020, allowing COMP token holders to vote on protocol changes.
What Is Compound (COMP)?
Compound is an autonomous interest rate protocol facilitating crypto lending/borrowing. Its native token, COMP (ERC-20), enables delegated voting rights—users need 1% of COMP to participate.
Governance Model
- DPoS Consensus: Similar to EOS, incentivizing collective protocol stewardship.
- Token Supply: Fixed at 10,000,000 COMP (max supply undisclosed).
Where to Buy and Sell Compound (COMP)?
👉 Buy COMP at the best rates on platforms like:
- Coinbase (most active market).
- Bitvavo & Coinmerce (competitive EUR pairs).
How to Use Compound (COMP)?
- Lending: Deposit assets (e.g., BAT) to earn interest.
- Borrowing: Collateralize crypto to borrow other assets.
- Governance: Stake COMP to vote on protocol upgrades.
Pro Tip: Accrued COMP rewards auto-distribute to wallets—track via Compound Governance Explorer.
FAQs About Compound (COMP)
Q1: Is COMP a good investment?
A1: COMP’s value ties to DeFi adoption and governance utility, making it a high-potential but volatile asset.
Q2: How do I earn COMP?
A2: Interact with Compound markets (supply/borrow) to earn COMP rewards.
Q3: What’s the minimum COMP needed to vote?
A3: 1% of total COMP supply (subject to change via governance).
Compound (COMP) in the News
- 2020 Surge: COMP’s price doubled during DeFi mania.
- Coinbase Listing: Enhanced accessibility for traders.
- Funding Milestone: $25M raised in 2019 to expand crypto lending.
👉 Explore COMP’s latest updates
Additional Resources
- Whitepaper: “The Money Market Protocol” details algorithmic interest rates.
- Social Media: Follow Compound Labs on Twitter for real-time updates.