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SBF
@SBF_FTX
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@SBF_FTX
9) So cUSDC is basically just an every-increasing number of USDC, growing at the interest rate on Compound. I'ts kinda like a coin that can only go up! (Unless there is a liquidation failure/hack/etc. on the platform, in which case it can go down.)
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SBF
@SBF_FTX
10) Here's the kicker--this means that you can effectively lend USDC on Compound without ever touching the platform! All you have to do is buy cUSDC with your USDC, and it'll grow at the Compound interest rate. It's a tokenized DeFi interest rate, which is really cool!
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SBF
@SBF_FTX
12) We'll even allow cUSDT to be collateral for futures on FTX and spot margin on FTX US, so you can earn interest on your USDT collateral while using it to trade other products.
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SBF
@SBF_FTX
14) There's probably a lot more to COMP than I know, but here are the biggest things I've been thinking about: 1) voting 2) interest rate distribution
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SBF
@SBF_FTX
15) You can use COMP to vote on proposals on app.compound.finance/vote. So the way the platform will evolve is by the will of the COMP token holders. Right now some people are proposing USDT collateral, and voting on that proposal with their COMP.
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SBF
@SBF_FTX
17) COMP has also skyrocketed in price; it's now the highest market cap DeFi token (if you look at fully diluted value), having surpassed MKR. Will it sustain that? I don't know! I guess a lot of it comes down to whether it's going to set the new standard for DeFi lending.
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SBF
@SBF_FTX
18) I'm not the most involved in the DeFi space, and so I'm not equipped to know what the future holds. But I can repeat what our head of engineering said when he learned how cTokens work: "I wonder why we didn't come up with it".
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