cToken

List of top cToken coins by market cap. The current cToken coin market cap is $0.00 , which has changed by -4.29% in the past 24 hours; the cToken coin trading volume is $38.96, which has changed by 0.00% in the past 24 hours. There are 4 cryptocurrencies in the cToken coin list today.
cToken is a tokenized representation of a user's lending position within decentralized finance (DeFi) protocols, most notably Compound. When users deposit cryptocurrencies into a lending pool, they receive cTokens in return, which serve as proof of ownership and accrual of interest. These tokens represent a claim on both the original deposited amount and the accumulated lending rewards. cTokens function as interest-bearing assets, continuously appreciating in value as lenders earn yield on their deposited capital. The exchange rate between cTokens and the underlying asset increases over time, allowing users to redeem their cTokens for more of the base asset than they originally deposited. This mechanism enables passive income generation for liquidity providers while maintaining composability within the DeFi ecosystem, as cTokens can be used as collateral in other protocols or traded on secondary markets. The cToken standard has become influential across multiple DeFi platforms, inspiring similar token models in other lending protocols like Aave, which uses aTokens following comparable principles for representing user positions and distributing yields.