By Nathan Ferguson
The Compound DeFi lending platform recently made it known that a treasury product shall be launched soon for institutional and business-related purposes.
The decentralized finance lending pioneer had made the initial announcement earlier today on the 29th of June 2021, before also stating that this new and innovative treasury shall be built for various financial institutions and businesses which may be non-crypto oriented in nature so that these institutions may also be able to enjoy the benefits that the protocol can offer.
Protocol working well thus far
So far, the protocol has been functioning perfectly, according to Compound representatives. It worked well throughout the entire phase of the market, experiencing continuous volatility that we tend to frequently experience, and it had even managed to secure its position as a key component of the overall DeFi ecosystem in general. Simply put, the objective is to usher in increased reliability and security to various institutional investors via the expansion of its suite of different products.
To this end, Compound Finance shall be operating alongside Fireblocks, a cryptocurrency custody firm that had partnered up with BadgerDAO a couple of months ago in April. It will additionally be working with Circle, the company responsible for the formation of the very popular stablecoin, USDC. What’s more is that the new product shall also allow large-scale USD holders, fintech start-ups, and Neobanks to gain access to the interest rates that are readily available on the protocol within USDC’s market.
Becoming the bridge
Ultimately, the long-term goal is for Compound Treasury to be the main bridge through which financial institutions that are not involved in crypto can bring all of the main benefits of decentralized finance to countless users in the future.
Back in March, it had also been revealed by Compound that ‘Gateway,’ a new prototype, has now been constructed on Substrate’s platform in an attempt to offer interest rates (cross-chain) as well as collateral markets. In other news, various complexities and complications often linked with decentralized finance like cryptocurrency wallet management, as well as issues pertaining to the storage of private keys, shall also be removed, thereby making the whole process even simpler and more accessible.
As of now, the protocol’s COMP token had increased by 26.5% since yesterday following the aforementioned news about the development of the treasury. However, this amount is still not as high as the previous ATH, which had been achieved back in May.
HeraldSheets.com produces top quality content for crypto companies. We provide brand exposure for hundreds of companies. All of our clients appreciate our services. If you have any questions you may contact us. Cryptocurrencies and Digital tokens are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by our authors and the views expressed in them do not reflect the views of this website. Herald Sheets is not responsible for the content, accuracy, quality, advertising, products or any other content posted on the site. Read full terms and conditions / disclaimer.