Compound protocol
Overview
Compound is a decentralized finance (DeFi) protocol on Ethereum that allows users to supply assets to liquidity pools to earn variable interest or borrow assets by overcollateralizing. It is classified as a money market protocol. The protocol algorithmically sets interest rates based on supply and demand.
Within the DeFi Intel graph, Compound connects to 32 tracked entities, most strongly to Compound III, Robert Leshner, COMP.
Relations
Top connections in the DeFi Intel knowledge graph (confidence-weighted, 4 of 32 total).
| Relation | Connected entity | Confidence |
|---|---|---|
launched | Compound III | 95% |
founded_by | Robert Leshner | 95% |
supports_token | COMP | 95% |
governed_by | COMP | 95% |
More on Compound
Frequently asked questions
What is Compound III / Comet?
The current version of Compound, in which each market has one borrowable base asset and other assets can only be supplied as collateral.
Where was Compound III first deployed?
On Ethereum, with USDC as the base asset; the protocol is EVM compatible and deployment addresses are published in the Comet repository.
What is COMP used for?
COMP is the protocol's token, distributed through Compound's rewards contract to market participants.
Related reading
- Aave vs Compound (2026): Full Comparison
- Compound vs Kamino Finance (2026): Full Comparison
- Compound vs Radiant Capital (2026): Full Comparison
Sources
Facts on this page were verified against the following sources.