{"id":444288,"date":"2022-05-09T20:45:00","date_gmt":"2022-05-09T17:45:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/compound-treasury-receives-b-credit-rating-from-sp-global-ratings\/"},"modified":"2022-05-09T20:45:00","modified_gmt":"2022-05-09T17:45:00","slug":"compound-treasury-receives-b-credit-rating-from-sp-global-ratings","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/compound-treasury-receives-b-credit-rating-from-sp-global-ratings\/","title":{"rendered":"# Compound Treasury receives B- credit rating from S&#038;P Global Ratings"},"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-6a3ca8b510e3c\" 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-6a3ca8b510e3c\" 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-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/compound-treasury-receives-b-credit-rating-from-sp-global-ratings\/#%E2%80%9D_Compound_Treasury_receives_B-_credit_rating_from_S_P_Global_Ratings_%E2%80%9C\" >&#8221; Compound Treasury receives B- credit rating from S&#038;P Global Ratings  &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_Compound_Treasury_receives_B-_credit_rating_from_S_P_Global_Ratings_%E2%80%9C\"><\/span>&#8221; Compound Treasury receives B- credit rating from S&#038;P Global Ratings  &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDUvODlhMjY4MDQtZjUwNC00YmJjLWFiNzQtNGYzNzI1NTVhMDc0LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-2a0745c6>On Monday, decentralized finance, or DeFi, protocol Compound Treasury <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/medium.com\/compound-finance\/compound-treasury-sp-credit-rating-897aff3a6f8c\">announced<\/a> that it received a credit rating of B- from S&amp;P Global Ratings. As told by the team at Compound, this represents the first time a major credit agency has issued a rating for an institutionalized DeFi protocol. The S&amp;P Global Ratings&#8217; investment suitability scale <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.spglobal.com\/ratings\/en\/about\/intro-to-credit-ratings\">ranges<\/a> from AAA (extremely strong) to D (in default). A score of B- indicates the issuer can meet financial commitments, though vulnerabilities to business, financial and economic conditions persist.\u00a0<\/p>\n<p>Regarding Compound&#8217;s rating specifically, S&amp;P Global cites the uncertain regulatory regime for stablecoins such as USD Coin (USDC), stablecoin-to-fiat convertibility risks and the Treasury&#8217;s &#8220;limited capital base&#8221; along with a 4.00% per annum return obligation for the decision. However, the rating agency says that the Compound protocol&#8217;s record of zero losses measured in USDC partially mitigates the risks of the offering.<\/p>\n<p>With regards to the development, Compound Treasury&#8217;s <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> manager Reid Cuming\u00a0commented &#8220;S&amp;P&#8217;s rating helps our institutional clients more easily understand the opportunity and risks of crypto-powered cash management.&#8221; As part of ongoing discussions with S&amp;P Global, Compound Treasury&#8217;s ratings could be upgraded in the event of greater regulatory clarity for digital assets or a longer track record of solid performance.<\/p>\n<p>The Compound Treasury and its yield is supported by its underlying DeFi lending Compound protocol. At the time of publication, 301,650 suppliers have <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/compound.finance\/markets\">injected<\/a> $6.94 billion worth of digital assets into the protocol, while 9,275 borrowers have taken out $1.83 billion worth of loans. While above the savings rates of major U.S. banks, the yield from Compound Treasury is only <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/time.com\/nextadvisor\/banking\/savings\/rates\/\">accessible<\/a> to accredited investors or those meeting significant income and net worth thresholds.\u00a0<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"defi_newsletter\"><\/template><\/div>\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\/compound-treasury-receives-b-credit-rating-from-s-p-global-ratings\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; Compound Treasury receives B- credit rating from S&#038;P Global Ratings &#8220; On Monday, decentralized finance, or DeFi, protocol Compound Treasury announced that it received a credit rating of B- from S&amp;P Global Ratings. As told by the team at Compound, this represents the first time a major credit agency has issued a rating for&#8230;<\/p>\n","protected":false},"author":1,"featured_media":444289,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDUvODlhMjY4MDQtZjUwNC00YmJjLWFiNzQtNGYzNzI1NTVhMDc0LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,74894,126890,74863,74868,77595,75493,74355,4965],"class_list":["post-444288","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-blockchain","tag-compound","tag-cryptocurrencies","tag-defi","tag-lending","tag-stablecoin","tag-adoption","tag-technology"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/444288","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=444288"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/444288\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/444289"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=444288"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=444288"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=444288"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}