{"id":177138,"date":"2021-02-13T01:00:00","date_gmt":"2021-02-12T22:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/spike-in-defi-lending-pushes-compound-comp-price-to-a-new-high-at-570\/"},"modified":"2021-02-13T01:00:00","modified_gmt":"2021-02-12T22:00:00","slug":"spike-in-defi-lending-pushes-compound-comp-price-to-a-new-high-at-570","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/spike-in-defi-lending-pushes-compound-comp-price-to-a-new-high-at-570\/","title":{"rendered":"# Spike in DeFi lending pushes Compound (COMP) price to a new high at $570"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a41cf4cce1fe\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a41cf4cce1fe\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/spike-in-defi-lending-pushes-compound-comp-price-to-a-new-high-at-570\/#Stock_buying_limitations_highlight_the_need_for_DeFi\" >Stock buying limitations highlight the need for DeFi<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/spike-in-defi-lending-pushes-compound-comp-price-to-a-new-high-at-570\/#COMP_breakout_follows_key_governance_vote\" >COMP breakout follows key governance vote<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Spike in DeFi lending pushes Compound (COMP) price to a new high at $570 <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>As Bitcoin and numerous altcoins surge toward new all-time highs, traders who are coin rich but cash poor are increasingly flocking to decentralized finance lending platforms where they can collatoralize their holdings to raise funds for new investments.\u00a0<\/p>\n<p>Compound is one of the leading DeFi lending platforms and over the past month its TVL and governance token price has rallied to new highs.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-02\/0ed42ef6-9721-4edb-91af-1d567a242ad3.png\"><figcaption style=\"text-align: center;\"><em>Total value locked in Compound. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/defillama.com\/protocol\/compound\"><em>Defi Llama<\/em><\/a><\/figcaption><\/figure>\n<p>Compound, which ranks third among DeFi lending protocols, has $4.55 billion worth of assets locked on the platform and its COMP governance token has doubled in value over the past week. Currently COMP trades for $566, a new all-time high and 325% increase since the start of 2021 . <\/p>\n<h2><span class=\"ez-toc-section\" id=\"Stock_buying_limitations_highlight_the_need_for_DeFi\"><\/span>Stock buying limitations highlight the need for DeFi<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>While there are no major announcements that seem to have catalyzed the current rally from COMP, the project did recently integrate with Ledger\u2019s Lend platform which allows wallet users to interact with the Compound platform and lend out their stablecoins. <\/p>\n<p>On Jan. 29 Compound co-founder Robert Leshner discussed the stock buying limitations brokerage firms like Robinhood placed on stocks like AMC and <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/game\/\" data-internallinksmanager029f6b8e52c=\"7\" title=\"Game\" target=\"_blank\" rel=\"noopener\">Game<\/a>Stop. <\/p>\n<p>According to Leshner, all markets are affected by long trade settlement times due to the structure of Depository Trust &amp; Clearing Corporation (DTCC), and he suggested that \u201cmarkets run on blockchains\u201d as \u201cthe long-term answer\u201d to the problems currently faced. <\/p>\n<p>Lesner <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/rleshner\/status\/1355193439764230145\">stated<\/a>: <\/p>\n<blockquote><p>\u201cInstant settlement would eliminate most of the complexity, cost, and capital requirements which plague T+2 settlement. Robinhood wouldn&#8217;t have credit obligations, or the need to turn against their own customers.\u201d<\/p><\/blockquote>\n<p>AT the time COMP was trading for $241 and it\u2019s possible that the extra attention the GameStop fiasco brought to the crypto and DeFi sector may have motivated some investors to give Compound and other decentralized exchange platforms a try.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-02\/e9431a48-fde0-4b64-93ce-2a846dcbf0ce.png\"><figcaption style=\"text-align: center;\"><em>COMP\/USDT 4-hour chart. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.tradingview.com\/symbols\/COMPUSDT\/?exchange=BINANCE\"><em>TradingView<\/em><\/a><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"COMP_breakout_follows_key_governance_vote\"><\/span>COMP breakout follows key governance vote<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On Feb. 1 COMP proposal 36 reached the required threshold needed to allow a three-day community voting period, which finished on Feb 12. <\/p>\n<p>The proposal, which sought to allow the \u201cCommunity Autonomous Proposal (CAP) to increase the Collateral Factor (CF) of Wr<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>edBTC from 60% to 75%\u201d on the platform,\u201d passed by a wide margin and will be implemented after a two-day waiting period. <\/p>\n<p>Another wave of buying followed this announcement, propelling the price of COMP 54% higher from $382 in the early trading hours on Feb. 4 to $555 on Feb.5. <\/p>\n<p>As attention from institutional investors grows and big-name influencers like Elon Musk and Mark Cuban tout the benefits of decentralized finance and the yield it offers, the current uptrend in TVL is poised to move higher as token values and protocol engagement surge to new highs. <\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/spike-in-defi-lending-pushes-compound-comp-price-to-a-new-high-at-570\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Spike in DeFi lending pushes Compound (COMP) price to a new high at $570 &#8221; As Bitcoin and numerous altcoins surge toward new all-time highs, traders who are coin rich but cash poor are increasingly flocking to decentralized finance lending platforms where they can collatoralize their holdings to raise funds for new investments.\u00a0 Compound&#8230;<\/p>\n","protected":false},"author":1,"featured_media":177139,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDIvZDc4NmY2ODEtNTU2Yi00YTdkLWJjYWYtZDA3YTQ4Njg1ZTdkLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,74863,74860,74868,75916,86706,73785],"class_list":["post-177138","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-cryptocurrencies","tag-cryptocurrency-exchange","tag-defi","tag-dex","tag-robinhood","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/177138","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=177138"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/177138\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/177139"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=177138"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=177138"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=177138"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}