Compound Finance Daily Snapshot
15 FEB 2023 (WEDNESDAY)
What Is Compound?
Compound Finance is a decentralized lending and borrowing protocol, built on top of Ethereum blockchain where users are free to lend and borrow their crytpos on this platform.
Our analysis here would look into the day-to-day changes of all borrowing, lending, deposit and withdrawal activities that happened overnight here.
All analysis here is generated by OpenAI GPT3 artificial intelligence model based on Quantified Finance data feed, and further enchanced by our in-house analysts.
Disclaimer
Please note that investing in cryptocurrency carries significant risks and may not be suitable for all investors. Cryptocurrency markets are highly volatile and unpredictable, and the value of your investment may fluctuate greatly, even within short periods of time. It is important to conduct your own research and understand the risks associated with investing in cryptocurrency before making any investment decisions.
Furthermore, investing in cryptocurrency is not protected by any government or regulatory authority. Unlike traditional currency or assets, cryptocurrency is decentralized and not backed by any physical asset or legal entity. This lack of regulation and oversight means that there is a higher risk of fraud, hacking, and other criminal activity that may result in a loss of funds.
Additionally, cryptocurrency exchanges may be subject to technical issues and operational failures that can impact the availability and security of your investments.
This article is written for educational and informational purposes only and is not a financial advice or recommendation to buy/ sell any cryptocurrency. Before investing in cryptocurrency, please consider your financial situation, risk tolerance, and investment goals. It is also important for you to seek advice from a qualified financial professional before making any investment decisions. By investing in cryptocurrency, you assume full responsibility for any losses that may result.
Overnight Borrowing Activities
The borrowing rates for the five crypto tokens on February 15th, 2023, were as follows:
Basic Attention Token (BAT) had a borrowing rate of 2.16%, Ether (ETH) had a borrowing rate of 2.69%, Wrapped BTC (WBTC) had a borrowing rate of 2.86%, DAI had a borrowing rate of 3.28%, and Compound Governance Token (COMP) had a borrowing rate of 3.32%.
The percentage change in borrowing rates since the previous day was 0.00% for BAT, 0.001623% for ETH, 0.000138% for WBTC, -0.000474% for DAI, and 0.000015% for COMP. Overall, the borrowing rates for the five crypto tokens have remained relatively stable.
In conclusion, the borrowing rates for the five crypto tokens on February 15th, 2023, were relatively stable. The borrowing rates for all five tokens remained within a relatively small range.
Overnight Lending Activities
This section analyses the lending rates and percentage changes in lending rates of the five most popular crypto tokens as of February 15, 2023. The tokens analysed are Aave Token (AAVE), Tether (USDT), USD Coin (USDC), Dai (DAI), and Sushi Token (SUSHI).
Aave Token (AAVE) had the highest lending rate 3.23%, with a 0.045823% increase from the previous day.
Tether (USDT) had the second-highest lending rate of 2.67%, with a 0.090663% decrease from the previous day.
USD Coin (USDC) had the third-highest lending rate of 1.63%, with a 0.014913% increase from the previous day.
Dai (DAI) had a lending rate of 1.43%, a 0.000409% decrease from the previous day.
Sushi Token (SUSHI) had a lending rate of 0.98%, with no change from the previous day.
Overall, the lending rate for the five crypto tokens analysed was relatively stable, with only small changes in the percentage change in lending rate from the previous day. This suggests that the demand for these tokens is relatively consistent.
Overnight Deposit and Withdrawal Activities
On February 15, 2023, the total supply (USD) of various crypto tokens was analysed. The following section provides an overview of the total supply of the crypto tokens in Compound Finance as of 15 Feb 2023, as well as the change in their respective total supply from the day before.
$2.7 million worth of USDT was deposited into the Compound protocol, while $2.7 million USDC was withdrawn from the platform.
$110K worth of LINK tokens were deposited, while $99K of ETH and $35K of DAI were withdrawn overnight.