How to Lock TON Tokens on Compound: Step-by-Step DeFi Guide

## Understanding Token Locking on Compound
Locking tokens on Compound—a leading decentralized finance (DeFi) protocol—allows you to earn interest by supplying assets to its liquidity pools. While Compound currently supports Ethereum-based ERC-20 tokens (like DAI or USDC), **TON (The Open Network) tokens aren’t natively compatible** due to operating on a separate blockchain. This guide explains the general token-locking process and explores future possibilities for TON integration.

## Why Lock Tokens on Compound?
Locking tokens on Compound offers key benefits:
– **Passive Income**: Earn variable APY on supplied assets.
– **Liquidity Access**: Borrow against locked tokens without selling.
– **Protocol Incentives**: Receive COMP governance tokens as rewards.
– **DeFi Integration**: Use locked assets across Ethereum-based dApps.

## Step-by-Step Guide to Locking Tokens on Compound
*Note: These steps apply to supported ERC-20 tokens. TON requires cross-chain solutions (discussed later).*

### Step 1: Prepare Your Wallet and Assets
1. Install MetaMask or a Web3 wallet.
2. Fund your wallet with:
– ETH for gas fees
– ERC-20 tokens to lock (e.g., DAI)

### Step 2: Connect to Compound
1. Visit [app.compound.finance](https://app.compound.finance)
2. Click “Connect Wallet” and authorize the connection.

### Step 3: Approve Token Access
1. Select your token under “Supply Markets”
2. Click “Enable” and sign the approval transaction (gas fee required).

### Step 4: Lock Your Tokens
1. Enter the token amount to supply
2. Click “Supply” and confirm the transaction
3. Verify success on Etherscan

### Step 5: Manage Your Position
– Track interest accrual in your dashboard
– Borrow against collateral (up to 75% LTV)
– Withdraw tokens anytime (minus gas fees)

## Will TON Tokens Work on Compound?
Currently, **TON cannot be directly locked on Compound** because:
– TON operates on The Open Network (Layer 1 blockchain)
– Compound supports only Ethereum Virtual Machine (EVM) chains

### Future Integration Possibilities
TON may become accessible via:
1. **Wrapped TON (wTON)**: A bridged ERC-20 version
2. **Cross-Chain Bridges**: Solutions like Multichain or Axelar
3. **Compound V3 Expansion**: Potential future multi-chain support

## Alternative Ways to Earn with TON
While awaiting Compound integration, consider:
– **TON Staking**: Native delegation via Tonkeeper wallet
– **TON DEXs**: Provide liquidity on platforms like STON.fi
– **Lending Protocols**: Use TON-native apps like EVAA Protocol

## Frequently Asked Questions (FAQ)

### Can I lock TON on Compound today?
No. Compound doesn’t support TON’s blockchain. Use Ethereum-based tokens or explore TON-native DeFi alternatives.

### What’s the minimum to lock tokens on Compound?
No minimum, but ensure sufficient ETH for gas fees (typically $5-$50 per transaction).

### Is locking tokens on Compound safe?
Compound is audited and widely used, but risks include:
– Smart contract vulnerabilities
– Interest rate fluctuations
– Impermanent loss if supplying volatile assets

### How are interest rates determined?
Rates adjust algorithmically based on token supply/demand. Check real-time APY on Compound’s dashboard.

### Can I lose tokens by locking them?
Direct loss is unlikely, but value can decrease if:
– Borrowers default (mitigated by over-collateralization)
– Token prices drop significantly

## Key Takeaways
While TON token locking on Compound isn’t currently possible, the standard process for ERC-20 tokens involves wallet setup, token approval, and supply transactions. Monitor Compound’s announcements for potential multi-chain expansions. For immediate TON earnings, leverage native staking or TON-based DeFi protocols. Always verify contract addresses and use trusted bridges when exploring cross-chain solutions.