Coinbase Pro to List New DeFi Governance Token Compound (COMP)
According to the recent announcement, Coinbase Pro will begin accepting inbound transfers of COMP on Monday, June 22. Trading for COMP/USD and COMP/BTC will go live at 12 pm (EST) the following day if enough liquidity is available.
Like Maker (MKR), Compound Token provides holders with voting rights related to Compound’s lending protocol on matters related to technical upgrades, supported assets and more. Compound leverages a unique system called liquidity mining to distribute COMP tokens, which rewards users who use the Compound platform by borrowing or providing funds.
As of this writing, 13,742 COMP tokens have been distributed, which is just a fraction of the total supply of 10,000,000.
This move by Coinbase to bring COMP to its platform only days after the token launched is notable and has added further fuel to the token’s rally. The token is now up more than 130% since launching, bringing its price to $211.43 with an impressive fully diluted market cap of $2.1 billion.
The recent gains make Compound the highest valued DeFi asset based on its total supply, trumping tokens from Maker and Kyber Network (KNC). However, as the circulating supply of COMP continues to rise, it may start to drive the price down.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.