Skip to main content

Compound Launches Treasury to Introduce Institutions to Defi

Compound Launches Treasury to Introduce Institutions to Defi

Compound, one of the leading defi-based protocols, is launching a new service called Treasury. Compound’s Treasury is a new product designed to help institutions enter the defi space. Launched in partnership with Circle and Fireblocks, it skips the uber astounding rates conventional defi protocols offer. However, it seeks to offer stable revenue for companies looking to get passive income from their funds in dollars.

Compound to Coax Institutions With Treasury

Compound Labs, the company behind the Compound defi protocol, launched Treasury, a new defi service designed for institutions. This new service seeks to offer institutions the chance to garner defi-based gains without having to go the extra mile to do so. Treasury allows third parties to use fiat dollars to enter the space.

Compound Labs has partnered with Circle and Fireblocks and allows institutions to register and open a treasury account, where these institutions can wire dollars. Circle offers the conversion services to transform these dollars to USDC while using Fireblocks to keep these assets safe from attacks.

Treasury will offer a fixed interest rate of 4% per year on the funds deposited. This is very different from other defi “degen” protocols that offer risky yields of 1000%, but it offers higher yields than traditional banking institutions. The product will also allow withdrawals on demand, effective 24 hours after the request, and no fixed terms.

Getting Institutions Into Defi

While some companies have been making advances in bringing defi to institutions, there has not yet been a real success story in this regard. Metamask also announced a service directed at institutions not long ago, offering support to access apps and protocols. But due to the number of hacks in the environment, these third parties are wary of supporting the protocols.

Compound Labs is looking to remedy this wariness by partnering with known and regulated companies. Circle and Fireblocks are involved, possibly giving the instrument an advantage over similar offerings. Current, a fintech company, has already partnered with Compound to offer Treasury through its app. Trevor Marshall, Current’s Chief Technology Officer stated:

Working with Compound Treasury, we’ll be able to give our members access to the protocol’s interest rates through a simple and unified experience that can enable even more people to improve their financial outcomes.

What do you think about Compound’s Treasury product? Tell us in the comments section below.



from Bitcoin News https://ift.tt/3duMMI5
Labels:

Comments

Post a Comment

Popular posts from this blog

Deep Web Roundup: Dream Adds Monero and Bitcoin Tumbler “Chip Mixer” Launches

The darknet has been quiet of late, which is the way it’s meant to be. No news means no mega busts, honeypots, or mass market shutdowns. Even when it’s out of the spotlight though, the deep web is quietly making news, whether trialling the latest privacy coins or the newest coin mixers that promise to restore a little of the privacy that’s being stripped away from bitcoin users on a daily basis. Also read: U.S. Agency ICE Conducts Investigations That Exploit Blockchain Activity The Battle for Privacy Heats Up Privacy is all relative, but of late there’s been relatively little privacy to be enjoyed by bitcoin users. Blockchain monitoring software is becoming more sophisticated and more common, with U.S. law enforcement agencies using it to profile and hunt down deep web users. Chip Mixer is a relatively new bitcoin tumbler that’s designed to restore some of that privacy. Available on both the clearnet and darknet, the service uses a variety of techniques to obfuscate blockchain m...
10 comments
Read more

International Crypto Exchange Luno Adds Bitcoin Cash Trading

Luno exchange has added bitcoin cash trading to the platform following feedback from its client base. BCH is now only the third cryptocurrency available for trading on the exchange, in addition to BTC and ETH , but more options could be on the way once Luno determines that they are credible enough. Also Read: Bitflyer Adds Bitcoin Cash Trading Across Europe and the US Luno Adds Bitcoin Cash Trading Luno, the London-headquartered company formerly known as Bitx, recently announced that bitcoin cash was made available on its cryptocurrency exchange. Starting from Monday, September 23, customers at Luno are now able to store, buy and sell BCH on the platform. The reason given for adding BCH to the exchange is feedback from users in developing markets that convinced Luno to expand their offering from previously just BTC and ETH . Marcus Swanepoel, CEO of Luno, said , “We are in a new and exciting financial era. Developing economies are leading the large-scale adoption and appli...
Post a Comment
Read more

Ombudsman Receives Complaints About Crypto Investments in Spain

The Spanish ombudsman has been receiving complaints about cryptocurrency and how some Spanish citizens investing in these vehicles have lost everything. In his annual report, Angel Gabilondo recognized the rise of cryptocurrencies as a new problem due to the little or no regulation crypto sees in the country. In the same way, the EU has also warned about these assets recently. Spanish Ombudsman Gives His Take on Crypto Angel Gabilondo, the Spanish ombudsman, has given his take regarding cryptocurrencies and the effects they have on citizens investing in some of these projects. Gabilondo said in his yearly report that cryptocurrencies have become “a new problem” during the year examined, with many people having lost all of their funds invested. The report states : Cryptocurrency exchange companies or platforms are not regulated in the legal system, are not subject to any public supervision system, nor do they benefit from deposit guarantee systems. The affected users that sought...
Post a Comment
Read more