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Network Effect at Risk? Why 50% of DAI Locked in Compound Is a Concern

Published 08/12/2020, 12:21 PM
Updated 08/12/2020, 02:40 PM
Network Effect at Risk? Why 50% of DAI Locked in Compound Is a Concern

Data from blockchain intelligence firm Flipside Crypto show that 50% of DAI, Maker’s decentralized stablecoin, is now on Compound (COMP). While the figure seems a positive factor for COMP’s growth, it shows a concerning trend for DAI.

Since June, the amount of DAI on the Compound Decentralized Finance (DeFi) protocol rapidly surged. As of August, nearly $800 million worth of DAI is on Compound.

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