Decentralized finance platform Compound Prime LLC received a junk credit rating from S&P Global Ratings, underscoring how crypto lending is making inroads among institutional investors -- as well as the risks involved.
S&P on Monday issued a B- long-term rating for Compound Prime, six levels below investment grade, with a stable outlook. It cited uncertainty around the regulation of cryptocurrencies as one of the risks to Compound Treasury’s rating. Stablecoins are tokens which are pegged to the value of an asset, typically the U.S. dollar.
Compound Prime, a subsidiary of
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