Compound

COMP

COMP is the governance token of the Compound protocol.

Risk Rating
Best
$56.63
-0.44%
Summary
What we like
COMP holders govern the lending platform with the ability to vote on various protocol parameters, risk management and strategic business decisions.
What we like less
The asset currently does not have any direct or indirect revenue accrual mechanisms for protocol fees to be redistributed back to token holders.
What it means for you
Holding COMP can be an indirect way to benefit from the success of the platform over time as it is widely believed a portion of protocol fees will eventually accrue back to token holders through a future governance vote.
Information
Blockchain
  • Ethereum
Key Metrics
  • Market Cap: $388.8M
  • Fully Diluted Valluation: $567.1M
  • FDV / MC: 1.5
  • Ranking inside Exponential (excluding stables): #38
  • Circulating Supply: 6,856,086
  • Total Supply: 10,000,000
  • Total Supply: 10,000,000
  • Volume (24H): $24.3M
  • ATH: $910.54 (05/12/2021)
  • ATL: $25.74 (06/10/2023)
Risk Assessment
Best
Asset Strength

COMP is a low-cap asset that represents the blockchain`s native currency or monetary fee used to execute transactions on the network. This asset is exposed to the underlying risks of Compound, a protocol rated as Average.

Asset Tokenomics

COMP has a fixed supply.

Asset Volatility

COMP is highly correlated to the overall market.

Dependencies

Compound

Things to know about COMP

What is COMP used for?

The COMP token currently only can propose and vote on changes to the protocol. COMP holders govern the future direction of the platform through community voting on network decisions like the number of COMP rewards to lenders and borrowers and the types of assets accepted as collateral.

COMP tokenomics

COMP launched with a fixed supply of 10M tokens. The token distribution is as follows: ~4.2M reserved for users of the protocol (over 4 years), ~2.4M to shareholders of Compound Labs, ~2.2M to founders and team (subject to 4-year vesting), ~0.3M for future team members, and ~0.8M allocated for the community to advance governance through other mechanisms.

How does COMP accrue value?

Compound currently does not have a direct or indirect revenue accrual mechanism. There is no actual use for the token besides its use for governance and as a means to bootstrap user demand through yield farming incentives. The ongoing adoption of Compound is expected to accrue value to token holders through positive price impacts. A future governance vote may redirect a portion of protocol fees to COMP holders.

COMP Pools
Sushi COMP-ETH Market Making
3%
Yield
$1M
TVL
Risk
C
Protocol
Sushi
Chain
Ethereum