These tokens are ERC-20 tokens that show claims to a portion of an asset pool in Compound. For occasion, when a consumer deposits ETH into Compound, it is transformed into cETH; likewise, if a secure coin DAI is deposited, it’s transformed to cDAI. In a quantity of coin deposition cases, they’ll each earn interests primarily based on their interest rates. It means cETH will earn a cETH interest rate and cDAI will earn a cDAI rate of interest.
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