Compound Labs is an open-source software development company building tools, products, and services for the DeFi ecosystem. The company is the creator of the Compound money market. It enables users to supply Ethereum, earn interest, or borrow it at a given interest rate. The company has partnered with Circle and Fireblocks to launch Compound Treasury, a new product designed to help institutions get into DeFi.

Compound operates in an exciting yet unpredictable space. The DeFi market skyrocketed in 2021. It increased in value from just short of $50 billion to nearly $90 billion in just a few months. However, it then fell by roughly the same amount in under 2 months. DeFi and cryptocurrencies used within its ecosystem are new technologies, and therefore the market’s extreme volatility is something Compound will have to handle in order to be successful.