After an impressive rise – and subsequent fall – in price for Compound Finance’s COMP token over the past weekend, a new contender has already arrived to the DeFi land, making a splash on the first day after it started distributing its new token to users.
The new platform in question is Balancer, a protocol that describes itself as “an automated portfolio manager, liquidity provider, and price sensor.” And according to ranking website DeFi Pulse, the protocol is already seeing huge success in the decentralized finance (DeFi) market, with a growth in the total locked USD value of more than 41% over the past day alone.
However, the growth in locked value is not everything the new platform has going for itself. Just yesterday, the company behind the platform, Balancer Labs, confirmed that it has started to distribute its own BAL Governance Token to users.
According to a blog post from the team, the first tokens are to be distributed to users who have already earned them by depositing assets onto the protocol, a concept known as “liquidity mining.”