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Compound launches Web 3.0 platform that can shorten tokens on Ethereum

Compound launches Web 3.0 platform that can shorten tokens on Ethereum  - compound 696x317

Compound, a start-up based in San Francisco, has officially released a protocol (platform) that can short-sell four Ethereum series currencies (WETH, 0x, BAT, Augur).

In April this year Compound completed approximately $ 8 million in financing from funds such as Coinbase, a16z and Polychain Capital.

Compound is officially live: https: //t.co/KYLRNdeduv

– Compound (@ compoundfinance) September 27, 2018

The Compound platform has the following two types of participants.

  • People who can lend each currency to a trader wanting a short to gain a small interest
  • People who borrow each currency from those people and hit the short

Interest seems to be set dynamically according to market price and volatility, and this mechanism is established by two kinds of people who profit by lending the above four currencies, those who can short-circuit by borrowing them.

Regarding this service, Robert Leshner, CEO of Compound,

“Block chain assets are wonderful but lack the most essential elements in the efficient infrastructure of interest, and it is conceivable that hundreds of trillion dollar assets will be tokenized in the future, The institution that is deploying it requires the convenience of traditional financial markets, this launch is still the first step. “

I am talking.

Compound (https://app.compound.finance/) has already been officially released and it is possible to use the service via the Web 3.0 browser.

Article Source: Coinbase and a 16 z-Backed Compound Launches Platform for Shorting Cryptocurrencies

Author: Shota 【Coin Desk News】 – Source Post: https://crypto-times.jp/compound_shorting_crypto/

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