Regarding Compound’s rating specifically, S&P Global cites the uncertain regulatory regime for stablecoins such as USD Coin (USDC), stablecoin-to-fiat convertibility risks and the Treasury’s “limited capital base” along with a 4.00% per annum return obligation for the decision. However, the rating agency says that the Compound protocol’s record of zero losses measured in USDC partially mitigates the risks of the offering.
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Source: Cryptocurrency - investing.com