loan agreement, compound [COMP], seems uneasy about the project’s inability to catch up with its peers in the decentralized finance (DeFi) space. This obsession could be a factor in the cryptocurrency offering an upgrade to its community.
Compound Labs, the group behind the cryptocurrency, announced via its Twitter page. The company said they are releasing a new version of the open source protocol.
Today, after a successful COMP governance proposal, Compound III goes live 📈3⃣
Compound III is a simplified version of the protocol that emphasizes security, capital efficiency, and user experience.
For borrowers, it’s a game-changing upgrade.https://t.co/lmYs2DThBo
— Compound Labs (@compoundfinance) August 26, 2022
no more panic; we have you
while analyzing detail For the current live version (Compound III or COMPv3), it is observed that users can benefit from it. At the same time, there will be some losses. Compound Labs calls this latest development an addition to “security, capital efficiency and user experience.”
According to withdrawals, COMP v3 will mean that some of the supported tokens on v2 will no longer be available for lending and borrowing. But despite these removals, the upgrade seems to offer more.
As such, COMP v3 will allow users to obtain single-interest loans on more “valuable” assets.
In addition to COMP, other crypto assets are also included circle [USDC], Ethereum [ETH], chain link [LINK], Uniswap [UNI]and wrap bitcoin [BTC].
Additionally, the upgrade will free up space for COMP users to avoid periodic liquidations. Compound III will translate into cheaper gas fees and fewer liquidations of borrowed assets, according to its founder, Robert Leshner.
Where does this leave COMP?
For some time now, COMP has remained almost at the same level as the DeFi Total Value Locked (TVL) ranking.It reportedly remains at ninth place at press time Defilama.
Source: DeFiLlama
The change in TVL over the past 30 days decreased by 5.54%. Interestingly, it is a modest reduction compared to the reduction mentioned above.At press time, COMP TVL’s worth $2.81 billion and borrowed about $995.65 million.
Source: DeFiLlama
Despite the upgrade, the price of COMP is far from rising. In fact, the coin is down 4.55% from its value of $49.95 the day before. Although according to 8.90% sales growth Coin market value Data shows that COMP’s price levels are still underwhelming investors.
Despite the upgrade, the price of COMP is far from rising. In fact, the coin is down 4.55% from its value of $49.95 the day before.
Although according to 8.90% sales growth Coin market value The data shows that the COMP price level remains unimpressive to investors.
However, development activity on COM has not increased. On-chain analytics software reveals this, mood. 24-hour active addresses also follow the trend of development activity.
While COMP has made progress, it has failed to make significant progress, and investors within its ecosystem may need to reconsider their options.
Source: Santiment
