Compound Finance (COMP) Soars Over 60%— What’s Behind the Pump?

Compound Finance, a decentralized finance (DeFi) project facilitating on-chain lending services, has secured a market listing on the South Korean crypto exchange, Upbit. Over the past 24 hours, the project’s governance token, COMP, surged over 60% to a trading price of $66.2. However, the token’s value has rebalanced at around $53 at the time of writing, representing a 32.5% surge in the past 24 hours.

Source: CoinGecko

COMP Enters Upbit’s South Korean Market

Upbit’s announcement revealed that Compound’s COMP would be listed by 07:35 AM UTC. It was added that the token would be traded against the South Korean sovereign currency, the won (KRW) – COMP/KRW.

Compound(COMP) KRW Market Support

✅ Supported Market : KRW Market
📅 Trading opens at: 2025-04-01 16:35 KST estimated

🔗 Discover more:https://t.co/oibeKkhp0d#Upbit #COMP@compoundfinance pic.twitter.com/4UO1Who4Et

— Upbit Korea (@Official_Upbit) April 1, 2025

When most crypto assets are listed on a crypto exchange, their prices experience an extremely volatile trend. The price volatility often depends on the popularity of the crypto exchange announcing the token listing. Prices experience more dramatic movement when exchanges like Binance or Coinbase list them than when exchanges like Upbit or KuCoin list them.

Upbit introduced a mechanism to save users from dramatic price volatilities. It explained that buy orders were restricted for around five minutes after the token was listed. Sell orders with a 10% price drop or a price less than the previous day’s closing price will also be restricted for five minutes. These measures help safeguard users from the digital asset’s price volatility.

How COMP/KRW Is Faring

Upbit is a South Korean crypto exchange that enables the buying, selling, and trading of cryptocurrencies. Notably, Upbit’s new COMP listing came weeks after the South Korean government restricted the exchange from onboarding new users for three months. According to the authorities, the restriction was influenced by regulatory worries.

Despite the regulatory hurdle, Upbit’s business activities in the country continue. According to on-chain data from CoinGecko, Upbit’s trading volume has soared by over 14% to over $1.8 billion at the time of writing. Also, COMP is the fifth most-traded cryptocurrency on the crypto exchange, trailing XRP, Bitcoin, Walrus, and Solayer. COMP accounts for 4.29% of the exchange’s total volume, worth over $74.9 million at press time.

Unsurprisingly, Compound Finance’s COMP is the largest gainer on Upbit, with a trading price of $53.11 at the time of writing. Still, its current valuation is a far cry from its all-time high (ATH) of over $910 recorded in mid-May 2021.

About Compound Finance

Built on the Ethereum network, Compound Finance allows users to lend their crypto assets to others in return for interest. This occurs when the user deposits their crypto holdings into a smart contract called a liquidity pool. The DeFi protocol also allows users to borrow against these assets.

The platform runs an overcollateralization loaning model, requiring users seeking loans to deposit more than they want to lend. This loaning mechanism allows lenders to gain exposure to more crypto assets while ensuring users repay their loans.

Compound Finance is regarded as one of the earliest DeFi lenders due to its inception in 2018. Other rival platforms include Aave, MakerDAO, and Curve Finance.

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