Yes, search for in the app or web portal and select the withdrawal button in options. Please note that you can only withdraw Compound to a verified wallet address. For years we have ensured that you can not only buy crypto securely on our platform, but also store it. You can find the current price of Compound at the top of this page. Then verify your personal data, and you are ready to buy Compound. The COMP price chart shows the token gained 33.3% in 2021 as it spiked from the $149 level to a high of $531.98 in May, then dropped back to $200 at the end of the year.

In addition to this, users can also earn COMP tokens as rewards. Compound is the name of the protocol, while COMP is the name of the governance token for that protocol. Compound takes its name from the English for compound, in reference to compound interest.

afford to lose

The idea of the platform is to offer loans at lower interest rates and reward users who want to offer their assets for loans on DeFi platforms. $COMP is the network token for the Compound decentralized finance platform. $COMP is used to incentivize borrowers to withdraw and repay loaned crypto funds. $COMP is also used to incentivize lenders who assist in the network by making cryptocurrency assets available to borrowers in the P2P network infrastructure design.

Why buy COMP with OKX?

COMP tokens were initially distributed to Compound protocol users on June 16, 2020. Holders of COMP tokens have the power to propose and vote on changes to the Compound protocol. COMP holders can either choose to vote with the tokens themselves or delegate their voting rights to another address. This means that even users who don’t hold COMP themselves can participate in Compound’s governance process, if someone else delegates their voting rights to them. Essentially, lenders provide the liquidity for those seeking to borrow assets .

The Compound platform allows users to lend and borrow cryptocurrency without the need for a financial intermediary such as banks or other third parties. Compound allows users to become lenders or borrowers of cryptocurrency. The maximum loan-to-value ratio depends on the collateral asset. If the collateral falls below a maintenance threshold, the interest rate paid can vary by loan asset. Most traded cryptocurrencies are subject to two types of risk – systematic (i.e., market) and unsystematic (i.e., nonmarket or coin-specific or project-specific) risk. Unsystematic risk is the risk that events specific to Compound Governance project will adversely affect the coin’s price.

However, users can earn interest on tokens they lend to Compound pools. Compound raised interest rates slightly, and the interest paid to lenders is seen as relatively generous. Users can lend multiple crypto assets to the platform with peace of mind because every transaction is securely facilitated through a smart contract. Compound has been developed to link lenders with borrowers through a mix of robust smart contracts that run directly on the Ethereum blockchain. In other words, Compound is a DeFi lending protocol allowing users to earn interest on their cryptocurrencies by depositing them into designated pools.

What’s controversial about Compound DAI (cDAI)?

A positive outlook towards decentralized finance services fosters lending and borrowing activity on Compound, supporting the COMP price. On the other hand, adverse developments in the market could keep DeFi users away, reducing the liquidity on Compound, and driving down the demand for the COMP token. This, in turn, could weaken the value of Compound cryptocurrency. Governance attacks – Protocols with governance tokens and a DAO structure are always at risk of exploiting their systems. There’s a possibility that malicious individuals could borrow a significant amount of COMP to sway proposals. As the native token of the Compound platform, the future of COMP depends in part on the performance of its platform to deliver services efficiently.

When it comes to earning interest or making money on your tokens, Compound offers a few different routes. For starters, the platform allows users to deposit cryptocurrency into liquidity pools that borrowers can access. In return, the borrowers pay interest on the tokens they borrow, and lenders reap in the benefits. Other features, like compound interest, can also help users to maximize the returns on their investments.

Compound Governance Volatility Alert

comprar compound governance token is an EVM-compatible decentralized finance lending protocol where users can earn interest by depositing their cryptocurrency holdings into various pools on the platform. It empowers token holders to delegate their holdings, submit proposals, and vote on other users’ proposals to implement upgrades to the platform. You can buy and sell COMP for any major cryptocurrency, like BTC, ETH, and XRP or traditional currency such as Canadian Dollar, US Dollar, and Euro. Trading cryptocurrencies is like foreign exchange of traditional currencies – you trade COMP for BTC the same way you trade CAD for USD. To learn how to buy Compound / COMP, scroll down to see how to buy Compound. The Compound protocol operates within the growing decentralized finance space.

No, Hong Kong Won’t Be Allowing Retail Traders Access to Crypto on June 1 – CoinDesk

No, Hong Kong Won’t Be Allowing Retail Traders Access to Crypto on June 1.

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However, using platforms such as NDAX will allow for affordable, safe, and fast transactions. Make large trades through NDAX Wealth offering a personalized service with no price slippage. Most people consider Compound to be an incredibly trustworthy and credible platform. The Compound team has announced its intention to possibly list more assets on the patform. Trust Walletis one of the most popular digital wallets and it’s used by hundreds of thousands of people globally. Lenders can use the received tokens in whatever way they choose – it should be noted that Compound supports a limited number of tokens at the moment.

What is the Maximum Token Supply of COMP?

Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Compound Governance Token is ‘Hold’.


Among other factors, reward rates for who offers assets such as Compound liquidity could be a factor driving demand for the COMP governance token. In addition, market factors such as supply and demand for the token can also positively or negatively affect the performance of COMP. One of a rising number of decentralized finance protocols, Compound is able to collateralize multiple crypto assets in order to provide various financial services.

There are currently less than 10 tokens available on the Compound platform, which is much lower than many of the competitor platforms offer. The fact that the tokens are all based on the Ethereum blockchain also limits the platform to users who are looking for those specific options. Compound is a great option for people looking to earn interest on cryptocurrency sitting idle in a crypto wallet. However, it won’t be right for every user, and newer crypto investors may struggle to learn the nuances of the platform. Allows investors to trade cryptocurrency on a traditional market and eliminates the need to trade the asset on a crypto exchange. Another advantage of trading crypto ETFs is that investors do not have to worry about the security aspects of trading crypto.

  • Delegation – COMP holders cannot vote or create proposals until they delegate their voting rights to an address.
  • The direction of the COMP coin price will depend on price trends in the broader cryptocurrency markets, as well as the development and adoption of the Compound protocol.
  • The platform’s Compound coin price prediction for 2025 saw the token trading at $80.98 in the middle of the year.

Utilising smart contracts, Compound enables borrowing and lending, without having to conduct through central financial authorities and intermediaries. Users of the platform loan crypto assets whilst staking their own supported crypto as collateral. This can be done instantly, without the arduous and prolonged credit checks that exist in the real world.

  • Besides, they occupy the positions of CEO and CTO at Compound Labs, Inc, a software development company that launched the protocol.
  • So far, cryptocurrency users and projects have lost millions of dollars due to smart contract bugs.
  • You can get COMP tokens on a variety of different cryptocurrency exchanges.
  • The same investors are also heavily invested in some of the largest crypto projects around today.
  • You can store COMP tokens in any cryptocurrency wallet that supports ERC-20 tokens on the Ethereum network.

These exchanges do not require you to fulfill KYC requirements. Thus, you can buy your favorite coin without giving out your personal information. Compound is a decentralized, blockchain-based protocol that facilitates the borrowing and lending of crypto. You can sell your COMP tokens directly for fiat currencies like USD and EUR through exchanges like Coinbase and Kraken. If your exchange doesn’t list such a trading pair, you can first exchange your COMP for BTC or ETH and then sell those coins for fiat currency.

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