Compound is described as a DeFi-focused blockchain project built on the Ethereum blockchain.
What is Compound and How Does It Work?
Compound, a DeFi-focused blockchain project, is built on Ethereum. Working as a lending protocol, Compound was founded in 2017 by Robert Leshner and Geoffrey Hayes. Compound provides convenience for cryptocurrency loan transactions.
It aims to gather lenders and buyers of crypto money under one roof in the DeFi field. Compound users can borrow and lend through the protocol. Users can access liquidity pools created for credit, which support many cryptocurrencies within the network. With liquidity pools, lenders can earn interest.
The interest rate that the borrowers will pay and the lenders will receive within the platform are determined according to some criteria. One of these criteria is the supply-demand balance of the borrowed asset. In the compound protocol, the interest rates are updated for each newly formed block. Compound, the lending system, works similarly to other lending and receiving protocols. However, it differs from others in that the assets that are blocked in the system are converted into CTokens.
What is COMP coin?
The native cryptocurrency of the Compound network is the COMP coin. COMP coin is also used as the governance token of the protocol. COMP Coin holders can have a say in the decision process of changes on the Compound platform. It has features such as voting in the decisions taken, presenting proposals to the community and discussing the proposals. The native token of the Compound network, COMP Coin, was created with the ERC-20 smart contract on the Ethereum blockchain. Mining is not possible.
When users deposit cryptocurrencies into the pools supported by the platform, they receive COMP Coins equal to the deposited amount. COMP Coins represent each user’s share of the pool. Also, the exchange rate of COMP Coins to the principal asset increases over time. In this way, users earn interest income. With Compound, users can receive and give loans in a decentralized structure over blockchain technology.
How And Where To Buy COMP Coin?
Compound is a decentralized finance protocol that allows users to earn interest and get loans on cryptocurrencies. The native cryptocurrency of the protocol, COMP Coin, is listed on many cryptocurrency exchanges. As an example of these; Platforms such as Binance, Coinbase Exchange, Bithumb, KuCoin, Kraken, Uniswap (V2), Bitfinex, SushiSwap, PancakeSwap (V2), Bittrex can be given.
Investors who want to buy COMP Coin should first become a member of one of these platforms they prefer. After membership and account creation, identity verification must be performed. On the trading page, COMP Coin can be purchased with the preferred order. Purchased COMP coins can be used in transactions or stored in secure wallets for later use.
COMP Coin Price
At the moment 1 compound 699.85 TLTL It is traded from. Moreover 1 compound 37.56 $is dollars.
Compound price in the last 24 hours -0.40%with change now 699.85 TLTLIt is traded from.
Compound volume in the last 24 hours 14,714,878 $dollarand if the market value of the cryptocurrency is 257,499,296 $dollaris.
