Compound (COMP) has exhibited a remarkable performance in terms of growth in the altcoin market recently. COMP is notable for its 19% increase today and is trading at $48.08 at press time. Here are the details of the rise…
Compound (COMP) continues to grow as a major player in the DeFi ecosystem. The altcoin has achieved a significant rally today. This increase has been further strengthened by a more than 23% increase in the last seven days, indicating that Compound’s growth is a more conscious and deliberate attempt by market makers. So why did Compound rise so much?
Compound is considered a major player in the decentralized finance (DeFi) space. DeFi is an ecosystem that provides financial services using smart contracts and blockchain technology instead of centralized institutions of traditional finance. Growth in this area allows users to reduce dependence on the requirements of central institutions and make financial transactions more open and transparent.
As an important part of this ecosystem, Compound offers its users the opportunity to lend and borrow crypto assets. In addition to this role, Compound operates as a decentralized autonomous organization (DAO) with COMP tokens that help determine the fate of the entire protocol.
COMP’s offer of rewards to ecosystem members who help make the protocol better has fueled the bullish movement. Recently, GreenYield was named one of the first start-ups to be recognized for this initiative.
The Compound ecosystem is now positively motivated by these gestures. Altogether, the current strength of the DeFi ecosystem accounts for one of the biggest increases in COMP’s price performance bullish outlook.
You can follow the current price movement here.