Ledger Live Integration, Developer Community Call Recap, Governance Updates
Compound Digest - November 18, 2020
Highlighting the best of the Compound ecosystem. For more updates, join the Compound community on Discord, Twitter, and Comp.xyz.
Ledger Live Integration
Ledger, the leading hardware wallet provider, natively integrated Compound into the desktop and mobile interface of Ledger Live. Ledger users can now use the Ledger Live application to securely supply stablecoins like USDC, DAI, and USDT to Compound and instantly begin earning interest from the protocol.
The new “lending” page inside of Ledger Live contains a Dashboard of available assets and approved accounts, a Closed Loan section that shows completed withdrawals, and a History section for detailed transaction information. In order to begin earning interest, users will need to follow the steps laid out in the supporting docs. An abbreviated list of steps is provided below.
Update Ledger Live or download the latest version.
Install the latest version of the Ethereum app on your Ledger device.
Approve the asset and account that will be interacting with the Compound protocol.
(Optional) Set an amount limit for supplied assets and network fees.
Deposit assets and earn interest!
You can read more about the integration specifics in the announcement post and the general “Lending” product page.
This integration represents a major step forward into the new era of self custodied financial services, as Ledger users can now access interest rates on USD stablecoins that are as much as 100x higher than the average US savings account (~0.05% APY), without ever logging into a website or turning over control of their private keys.
The combination of security and transparency in the Ledger/Compound integration highlights why DeFi will underpin the future financial system.
If you are a developer interested in adding Compound interest rates to your application, exchange, custody offering, or any other product, please feel free to reach out to our team for technical guidance and support.
Developer Community Call Recap
The Compound community held its second Developer Community Call last week to discuss ongoing protocol and application development. Below is a brief overview of the topics covered, and you can also view a longer recap on the Compound Community Forum or listen to a recording of the call.
Zenithlight shared a Compound Protocol Interest Rate Controller project from the ETHOnline Hackathon, which would modify the borrowing rate in each market to target a certain level of utilization.
Leighton (Pool Together) brought up the idea of credit delegation, and whether it should be a part of the core protocol or an application built on top of the protocol.
Monet_supply discussed the possibility of Maker onboarding yield stablecoins, like cUSDC and cDAI, as collateral to mint DAI.
Bhagwan discussed a push notification alert system for Compound borrowers, which would warn them when their collateral ratio is getting close to the liquidation threshold.
Timur shared his Compound governance tracking dashboard called Catflip, which shows changes from historical governance proposals, as well as the current contract parameters.
TennisBowling shared his project called Aggregate, which allows users to stake stablecoins in order to mint a new stablecoin (AGG), and may use Compound as the default collateral vault.
Tarun provided an update on the upcoming COMP vesting proposal, which now includes the ability for governance to approve COMP grants.
Getty further explained his idea on an improved collateral factor system, that introduces a ‘safety score’ to more accurately assess asset risk.
Zenithlight introduced the idea of being able to transfer an entire supply and borrow position to another address, potentially with an associated price for the position.
As a reminder, the community holds bi-weekly calls every other Wednesday at 9:30am PT / 4:30pm GMT. The next call will be on November 25th in the Compound Discord. Save the Google Calendar invite here. We hope to see you on the call next week!
Governance Updates
Completed Votes
Since the last newsletter, Proposal 29 passed through governance with unanimous support from the community.
Proposal 29: Delegate UNI 2
Status: Executed November 14th, 2020
Proposer: blck
Voting Results: 487,507 For and 0 Against
Summary: Proposal 29 is a follow up to Delegate UNI, which was cancelled due to losing the 100k minimum COMP delegation during the voting process. The voting power of UNI held in the cUNI contract is now delegated to the Compound community multi-sig, allowing the multi-sig to vote as a block in Uniswap governance. The community multi-sig is the 4th largest Uniswap delegate with 11.7M votes and can create its own Uniswap governance proposals. Once a new Uniswap governance proposal is created, cUNI holders will be able to use this snapshot voting page to indicate how the multisig should vote.
CAPs
Getty Hill created a new Compound Autonomous Proposal “Set USDC Collateral Factor to 85%” to increase the collateral factor of USDC from 75% to 85%. In an accompanying governance forum post, community members blck, trader-geo, and Getty Hill discussed the merits and risks of this raised collateral factor in depth. Consider delegating your support to this CAP, or follow this guide to create your own if you have at least 100 COMP.
Ongoing Discussions
See below for highlights from the Compound Community Forum, and join in the discussion:
Setup community cUNI Voting - @monet-supply encourages cUNI holders to review a Uniswap governance draft proposal for renewing the LP incentives, as well as participation in “soft” governance features like snapshot polls.
Adding LINK as a supported asset - @Ar00 suggests adding LINK as the next market on Compound, since it has deep liquidity, a limited supply cap, and is already supported by the Open Price Feed.
Contributions from Brave Users - @ChrisGryphen discusses potential collaboration opportunities between the Compound and Brave communities.
Be sure to either vote on proposals with your COMP, or delegate your COMP voting rights to a representative of your choice.
Markets Update
Current supply on Compound is at $3.2B from ~180k unique addresses, marking the first time that supplied assets have crossed the $3B threshold. In the past seven days, approximately $1.1B (gross) was added to the protocol, in 39k transactions. 42% of this volume was ETH, 27% was DAI, 18% was USDC, and 8% was WBTC (source).
Open borrowing is at $1.6B from 6.2k unique addresses. In the past seven days, approximately $309M (gross) was borrowed from Compound in 1.8K transactions. 59% of this volume was DAI, 31% was USDC, 6% was USDT, and 3% was ETH (source).
For live figures please refer to our Markets page.
Image source: IntoTheBlock.
Links & Discussions
Compound Labs General Counsel, Jake Chervinsky, joins the Unchained Podcast to discuss privacy and self custody in crypto.
Yearn.finance launched a Curve.fi Compound LP yVault for cUSDC and cDAI.
The DeFi Pulse Index made its debut on the Compound governance leaderboard with 0.22% voting weight - making it one of the first on-chain financial products able to vote its holdings.
Alex Svanevik of Nansen highlights that Compound received 24,903 WBTC in the last 7 days, the most of any DeFi protocol.
CoinTelegraph reports on Compound’s user base growing 250% in the last 30 days.
88mph announced a fixed interest rate product built on top of DeFi protocols like Compound.
Badger DAO announced that anyone who supplied or borrowed WBTC on Compound will be airdropped $BADGER at launch later this month.
