Last update: Jun 6, 2022

How to Buy Compound (COMP)

Marco velaAuthor: Marco Vela - Fact-checked ✓

So you’re looking for a guide on how to buy Compound. Depending on where you’re based, you’ll have a few trading platforms to choose from.

In this guide, we not only cover the top 3 global crypto trading platforms, but also the best exchanges for Australia, Canada, and the UK.

Let’s get started!

Compound

How to Buy Compound – 4 Easy Steps

1. Choose a crypto exchange

Finding a cryptocurrency exchange isn’t that hard. There are plenty of big players out there that have been around for quite some time.

This is where our comparison tables can help. The important factors to look for are fees, security, and if they have Compound of course.

2. Sign up with the cryptocurrency exchange

Signing up with any of the major exchanges is generally very easy. The initial sign up should be very fast, and even the verification processes are very well set up these days.

3. Fund your account

Next, you would need to fund your account with either fiat money (USD, AUD, GBP, CAD, etc) or another cryptocurrency like BTC or ETH. This process should again be straightforward and easily done using one of the bigger crypto exchanges.

4. Buy Compound

Now that you have what you need to buy Compound, head over to the market or buy section of the crypto exchange and buy some COMP.

If the crypto exchange doesn’t have any Compound on offer, for most cryptocurrencies you can buy Ethereum instead, transfer it to a decentralized exchange like Uniswap (check if Uniswap has Compound first), and trade your Ethereum for Compound.

Where to Buy Compound (COMP)

These are our top 3 exchanges based on the number of cryptocurrencies on offer, security, ease of use, and fees.

ExchangeFiat currenciesCryptocurrenciesDeposit methodsSite
BinanceUSD, AUD, EUR, GBP, CAD, CNY, and many more.350+Credit card, Cryptocurrency, Debit card, and moreVisit Binance
FtxUSD, EUR, GBP, AUD, HKD, CAD, CHF, BRL250+Wire transfer, Credit card, Silvergate Exchange Network, SIGNETVisit FTX
Etoro logoUSD, GBP, AUD, EUR, and more50+credit card, skrill, paypal, bank transfer, and moreVisit eToro
Disclaimer: Cryptocurrencies are volatile and may involve a lot of risk. Their performance is very unpredictable and past performance is no guarantee of future performance. Consult a financial advisor or obtain your own advice independent of this site before relying and acting on the information provided.

How to Sell Compound

  1. Sign into the crypto exchange where you bought Compound.
  2. Move your Compound to the right place on the crypto exchange. Some exchanges have trading accounts you need to use for buying and selling.
  3. Sell Compound.

 

Crypto trading

How to Buy Compound (COMP) in Australia

Looking at Australian crypto exchanges, it's always good to check if the exchange is registrered with AUSTRAC (Australian Transaction Reports and Analysis Centre). In addition, it would be handy if the exchange has integrated with POLi pay and PayID for instant AUD deposits.

If you’re looking to buy Compound in Australia, the process remains the same:

  1. Find a crypto trading platform below.
  2. Sign up for an account.
  3. Fund your account with AUD.
  4. Buy Compound if it’s available. If the exchange doesn’t have Compound. You can buy ETH instead, transfer it to a decentralised exchange like Uniswap (check first if Uniswap has Compound), and trade your ETH for Compound.

Also, check out our comparison of the cryptocurrency trading platforms in Australia for those looking to learn more about which exchanges we prefer.

ExchangeFiat currenciesCryptocurrenciesDeposit methodsSite
Swyftx logoAUD, NZD300+bank transfer, POLi pay, PayID, credit cardVisit Swyftx
Binance logoUSD, AUD, EUR, GBP, CAD, CNY, and many more.350+Credit card, Cryptocurrency, Debit card, and moreVisit Binance
Ftx logoUSD, EUR, GBP, AUD, HKD, CAD, CHF, BRL250+Wire transfer, Credit card, Silvergate Exchange Network, SIGNETVisit FTX

How to Buy Compound (COMP) in Canada

When researching Canadian crypto exchanges, make sure they're registered with FinTRAC (Financial Transactions and Reports Analysis Centre of Canada) and ideally support Interac e-Transfer (in addition to wire transfer and maybe credit cards) for smooth CAD deposits.

If you’re looking to buy Compound in Canada, the process remains the same:

  1. Find a cryptocurrency exchange below.
  2. Sign up for an account.
  3. Fund your account with CAD.
  4. Buy Compound if it’s available. If the exchange doesn’t have Compound. You can buy ETH instead, transfer it to a decentralised exchange like Uniswap (check first if Uniswap has Compound), and trade your ETH for Compound.

Also, check out our comparison of the most trusted crypto exchanges in Canada if you’re interested in learning more about which exchanges we like.

ExchangeFiat currenciesCryptocurrenciesDeposit methodsSite
Bitbuy logoCAD15+Wire transfer, Interac e-TransferVisit Bitbuy
Coinberry logoCADBitcoin, Ethereum, Litecoin, BCH, XLMInterac e-Transfer, Wire transfer, Credit card, Debit cardVisit Coinberry
Ndax logoCADBitcoin, Ethereum, Litecoin, and 4 morewire transfer, Interac e-Transfer, Bank draftVisit ndax

How to Buy Compound (COMP) in the UK

We recommend only looking at UK cryptocurrency exchanges that are registered with the FCA (Financial Conduct Authority). As for GBP deposit methods, the top exchanges should support FPS transfers (Faster Payments Service) and ideally credit/debit cards.

If you’re looking to buy Compound in the UK, the process remains the same:

  1. Find a cryptocurrency exchange below.
  2. Sign up for an account.
  3. Fund your account with GBP.
  4. Buy Compound if it’s available. If the exchange doesn’t have Compound. You can buy ETH instead, transfer it to a decentralised exchange like Uniswap (check first if Uniswap has Compound), and trade your ETH for Compound.

Or, if you’d like to learn more about the exchanges we prefer, read our comparison of the sites for bitcoin trading in the UK.

ExchangeFiat currenciesCryptocurrenciesDeposit methodsSite
Cex logoGBP, USD, EUR10+Bank transfer, credit card, debit cardVisit CEX
Coinjar logoGBP50+Bank Transfer (FPS), Visa, MastercardVisit Coinjar
Coinbase logoUSD, GBP, EUR150+Bank transfer (FPS), credit/debit cardVisit Coinbase

Cryptocurrency trading

Considering buying Compound? COMP Rundown

Compound is a DeFi lending protocol. It allows users to earn interest by depositing their cryptocurrencies into any of the many pools that are supported by the platform.

In return for depositing tokens into a Compound pool they will receive cTokens. These cTokens are the stake of the user in the pool. They can be used to redeem any underlying cryptocurrency that was initially deposited into it at any time. You will get cETH if you deposit ETH into a pool. The exchange rate between these cTokens and the underlying assets increases over time. This means that you can redeem them for more underlying assets than you originally put in. This is how the interest is distributed.

Borrowers can also take out a secured loan from any compound pool by putting down collateral. The maximum loan to value (LTV), varies depending on the collateral asset. Currently, it ranges between 50 and 75%. If the collateral falls below a maintenance threshold, the interest rate paid can vary by loan asset. Borrowers may face liquidation automatically.

The popularity of Compound has skyrocketed since its September 2018 launch and it recently surpassed $800 million in total lock value.

Compound claims that the vast majority of cryptocurrency sit on exchange platforms doing nothing for their owners. Compound hopes to change that with its open lending platform. Anyone who deposits supported Ethereum tokens can easily earn interest or get a secured loan. It is completely trustless.

Compound's community governance is unique among similar protocols. The native governance token of Compound -- COMP -- allows holders to propose changes to the protocol and to debate and vote on whether or not to implement them. This is done without the involvement of the Compound team. You can make changes to the distribution of COMP tokens, adjust collateralization factors and choose which cryptocurrencies you want to support.

These COMP tokens are available for purchase on third-party exchanges, or they can be earned through interaction with the Compound protocol such as depositing assets or taking out loans.

Related:

author Marco Vela

A crypto obssessed digital marketer passionate about making a difference in the world. When he's not behind the computer he can be found hiking, camping and relaxing with his dog.