Robert Leshner explained in a few sentences:
COMP’s “use the protocol to earn tokens” model inspired a large number of projects to follow suit, and the summer of 2020 is often called “DeFi Summer.”
Deposit receipts such as cTokens are also tokens: they can be transferred and used with other DeFi protocols, making them part of what’s often called “composable money legos.”
When participating in liquidity mining, factor in the possibility that reward tokens may lose value when calculating returns. The annualized yield shown on the page can change rapidly.
$COMP 22.9 (-0.48%)
COMP’s “use the protocol to earn tokens” model inspired a large number of projects to follow suit, and the summer of 2020 is often called “DeFi Summer.”
Deposit receipts such as cTokens are also tokens: they can be transferred and used with other DeFi protocols, making them part of what’s often called “composable money legos.”
When participating in liquidity mining, factor in the possibility that reward tokens may lose value when calculating returns. The annualized yield shown on the page can change rapidly.
$COMP 22.9 (-0.48%)