📋 Person|Robert Leshner
· Definition: Launched in 2019, Compound v2 introduced cTokens: receipts you receive after depositing assets, whose value grows as interest accrues.
· How to think about it: Funds attracted by rewards often leave when those rewards decline, so when evaluating a protocol, distinguish reward-driven demand from organic demand.
· Practical tip: Funds deposited in lending protocols are also exposed to smart contract vulnerabilities and bad debt. Don’t keep all your assets in a single protocol.
$COMP 22.97(-2.67%)
#COMP
· Definition: Launched in 2019, Compound v2 introduced cTokens: receipts you receive after depositing assets, whose value grows as interest accrues.
· How to think about it: Funds attracted by rewards often leave when those rewards decline, so when evaluating a protocol, distinguish reward-driven demand from organic demand.
· Practical tip: Funds deposited in lending protocols are also exposed to smart contract vulnerabilities and bad debt. Don’t keep all your assets in a single protocol.
$COMP 22.97(-2.67%)
#COMP