Compound v3 on Supersmooth (conservative single-asset borrowing)

Compound v3, also called Comet, is the protocol that defined pooled DeFi lending, in a deliberately conservative third iteration. Each Compound v3 deployment has a single borrowable base asset, such as USDC, with every other asset serving as collateral only. On Supersmooth, Compound v3 supports all four automations and is the straightforward venue for positions where minimal protocol complexity is the priority.

Overview

Compound v3 narrows the design to one borrowable asset per deployment, collateral that earns no yield, and a rebuilt absorb-based liquidation engine. Supersmooth uses Compound v3 for Borrow and Multiply positions on Ethereum Mainnet, Base, and Arbitrum. The single-borrowable-asset design dramatically shrinks the risk surface, making Compound v3 one of the longest-running unexploited lending codebases in DeFi.

Attribute	Value
Networks	Ethereum Mainnet, Base, Arbitrum
Supersmooth automations supported	Stop Loss, Trailing Stop Loss, Auto Sell, Auto Take Profit
Liquidity model	Unified pooled liquidity per deployment
Liquidation style	Absorb-based liquidation engine
Governance	Compound DAO

Origin and timeline

Robert Leshner launched Compound in 2018. The June 2020 COMP distribution effectively started DeFi summer and the liquidity-mining era. Compound v2, released in 2019, was the canonical pooled money market. Compound v3 Comet, released in 2022, narrowed the design to one borrowable asset per deployment, collateral that earns no yield, and a rebuilt absorb-based liquidation engine.

Design tradeoffs

Single borrowable asset: Compound v3 has a dramatically smaller risk surface, because collateral assets cannot be borrowed, which cuts off cascading bad-debt paths. The cost is that a user can borrow only the base asset, and collateral sits idle earning no supply yield.
Simplicity as a security posture: Compound v3 has fewer features than Aave v3 by design, and is among the longest-running unexploited lending codebases in DeFi.
Rates: Compound v3 offers competitive rates on the base asset.