Compound’s DeFi project, aimed at developing a stable financial ecosystem, shared details on the release of the COMP cryptocurrency. This is in line with Compound’s main mission – to create an infrastructure that developers can always rely on when creating cryptocurrency exchange scripts. The COMP token will be implemented directly to ensure the proper level of decentralization as a management system. This will allow the community to make and approve independent decisions without involving the team. It is not yet possible to say for sure whether this coin will appear in cryptocurrency exchangers and whether it will gain a foothold in the trading market.
According to the developers, the COMP cryptocurrency is primarily not intended for the exchange of cryptocurrency and is aimed at providing its holders with the right to vote – this will become an indispensable tool for building and administering complex voting systems. In addition, cryptocurrency is not considered an investment asset and will not be used for ICOs. In the future, the coin may become a model for ERC-20 tokens, which are aimed at improving the decentralization of the ecosystem.
Compound protocol was launched on the Ethereum Ropsten test network, which contributes to good integration between services. The source code of the COMP token and the developed control system are available for review on the GitHub resource. In addition, the developers are ready to provide the COMP testnet to everyone – just contact them in Discord to do this. To ensure a high level of protection during the exchange of cryptocurrencies online, in the near future the team will conduct an additional security audit, and the control system itself was tested by the OpenZeppelin standard.
During the test period, the COMP coin will be distributed among all shareholders of the company – thus, they will be able to delegate their voting rights. Most of the issued tokens will be deposited and will not affect management in any way. As long as the protocol is being tested, the development team will have the opportunity to suspend the decentralized management program in case of unforeseen problems. If developers are convinced that the system is working properly and reliable in operation, then in the future they will waive this right, thus transferring authority to the community. Also, the remaining tokens that are in a frozen state after the beta test will be distributed among users of the Compound protocol.