Compound Dominance in DeFi Surpasses MarkerDAO after COMP Token Distribution Began

News / 21.06.2020

MarkerDAO has been the dominant platform in DeFi. However, recent data suggest that Compound has surpassed MarkerDAO in terms of DeFi dominance.

Before the COMP distribution began last week, there was $97.7 million on Compound as against $480.5 million on MarkerDAO. However, as of June 21, Compound had $595.4 million worth of COMP tokens locked in DeFi, as against $442.8 million for MarkerDAO, according to DeFi Pulse.

Last week, Compound users began earning the platform’s new governance tokens, COMP for all crypto lent to, or borrowed from others on the platform. Many users rushed to get a share of the first disbursements of COMP, since the liquid supply on the market is very limited. This led to many users supplying COMP with considerably more capital. In most cases, those users also turned around and borrow against that capital so that they could earn COMP both for borrowing and lending.

Now that Compound has surpassed MarkerDAO, DeFi Pulse lists “Compound Dominance”, the percentage of all value locked in DeFi that is held by Compound, instead of the former “Marker Dominance”. The Compound Dominance as at June 21 stands at 39.81%.

The COMP token supply allocated for users will be completely distributed within the next 4 years. Majority of the COMP tokens are held by the Compound founders, team and investors. At press time, COMP is up by 50.4% and is trading around $334, according to data on CoinGecko.

Source: Cryptopress.

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Dacosta Osei-Tutu, a first degree holder in Nursing, who couples his Nursing career with blockchain blogging, has a great passion for the blockchain technology and aims to play a vital role in applying this revolutionary technology to disrupt the healthcare system in Africa.