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  1. Home
  2. /Glossary
  3. /Compound
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defi

Compound

A DeFi lending protocol on Ethereum where you can supply assets to earn interest or borrow against collateral.

Definition

A DeFi lending protocol on Ethereum where you can supply assets to earn interest or borrow against collateral. Compound helped popularize yield farming when it launched the COMP governance token in 2020. Interest rates adjust automatically based on supply and demand in each market.

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GuideWhat is DeFi? Complete Guide

Related Terms

Lending Protocol

A DeFi application that lets you lend your crypto to earn interest or borrow against your holdings.

Yield Farming

Strategically moving capital between DeFi protocols to maximize returns.

Governance Token

A token that gives holders voting rights in a protocol's decision-making.

1inch

A DEX aggregator that splits trades across multiple decentralized exchanges to find the best overall price.

Aave

One of the biggest lending and borrowing protocols in DeFi.

Across Protocol

A cross-chain bridge that uses an optimistic verification system and a network of relayers to move tokens between chains quickly.

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