[AlphaGrowth] Add Market ETH on Unichain

Proposals
1

Summary

AlphaGrowth proposes on the addition of the ETH market to Compound V3 on Unichain

Motivation

The Uniswap DAO has recently started deploying incentives as part of their mandate to grow liquidity on Unichain. Unichain liquidity has increased by more than $300M in the past few days as a result of this campaign. To capitalize on this opportunity, AlphaGrowth proposes listing the WETH comet on Compound V3 on Unichain.

Point of Contact: AlphaGrowth team, Sharpweb3 on TG

Proposed Collateral

We propose adding the following asset as collaterals for the market

  • wstETH
  • weETH
  • rsETH
  • ezETH
  • UNI
  • COMP
  • WBTC

We invite the community to suggest and give input on any other collateral assets.

About the Proposer:

This proposal was strategized in close collaboration with the Uniswap Foundation

Next Steps

We invite the community to consider this application for listing the ETH market and welcome suggestions in this direction.

Additionally, we look forward to the community to suggest

Collateral Factor

Reserve Factor

Borrowing Limit

4 Likes
2

[Gauntlet] - Unichain Recommendations

Simple Summary

If the community wishes to deploy a WETH comet on Unichain, We recommend the following initial parameter recommendations:

Risk Parameters

WETH Comet

Asset Collateral Factor Liquidation Factor Liquidation Penalty Supply Cap
WBTC 80% 85% 10% 120 WBTC
ezETH 88% 91% 6% 2200 ezETH
wstETH 90% 93% 3% 5000 wstETH
weETH 90% 93% 4% 5000 weETH
UNI 70% 75% 20% 500k UNI

Rationale

Supply Caps and Liquidation Penalty

WETH Comet

For WETH Comet, Gauntlet recommends aligning the LP to that set in the WETH Mainnet Comet.

Asset Liquidation Penalty
wstETH 3%
weETH 4%
ezETH 6%
WBTC 10%
UNI 20%

Gauntlet recommends setting asset supply caps (Excluding WBTC) at 30% of their circulating supply . This recommendation is made in consideration of the use of exchange rate oracles on the WETH Comet.

Asset Supply Cap
wstETH 5000
weETH 5000
ezETH 2200
UNI 500k
WBTC 125

For WBTC and UNI, we recommend setting supply caps to align with the slippage incurred at a level equivalent to the Liquidation Penalty, optimizing for greater capital efficiency.

WBTC/WETH

Screenshot
Screenshot498×335 16.5 KB

UNI/WETH

Screenshot
Screenshot498×335 16.6 KB

Collateral Factors (CF) and Liquidation Factors (LF)

Gauntlet recommends aligning the CF and LFs to that set in the Mainnet Comets.

WETH Comet

Asset Collateral Factor Liquidation Factor
wstETH 90% 93%
weETH 90% 93%
ezETH 88% 91%
WBTC 80% 85%
UNI 70% 75%

UNI/WETH Volatility

Screenshot 2025-04-29 at 5.39.20 PM
Screenshot 2025-04-29 at 5.39.20 PM1158×718 44.8 KB

For UNI, given the annualized daily log vol of 65%, we recommend setting the Liquidation Factor to 75% and Collateral Factor 70%.

For WETH Comet
Targetted Reserves: 5000 WETH
Storefront price factor: 70%

IR Curve Parameters

WETH Comet

Parameter Recommended Value
Annual Borrow Interest Rate Base 0.01
Annual Borrow Interest Rate Slope Low 0.0155
Borrow Kink 0.9
Annual Borrow Interest Rate Slope High 1.26
Annual Supply Interest Rate Base 0
Annual Supply Interest Rate Slope Low 0.0216
Supply Kink 0.9
Annual Supply Interest Rate Slope High 1.125

Utilization vs APRs & Reserve Factor

weth
weth1551×447 57 KB

Incentive Parameters

For WETH Comets

Daily COMP Supply Rewards Daily COMP Borrow Rewards
12 8

With the above utilization and the present Interest Rate curve, for Stablecoin comets:

  • Supply APR: 1.94%
  • Borrow APR: 2.5%

Given the current COMP price of $41 at 90% utilization:

  • Supply Distribution APR: 0.95%
  • Borrow Distribution APR: 0.71%

This results in the following Net APRs:

  • Net Supply APR: 2.9%
  • Net Borrow APR: 1.79%
2 Likes
3

Add WETH market on Unichain

PR - https://github.com/compound-finance/comet/pull/983
PR local - https://github.com/woof-software/comet/pull/154
Proposal - Tally | Compound | Initialize cWETHv3 on Unichain
The proposal was pushed by one of the recently whitelisted wallets - https://etherscan.io/tx/0x2d7076ce590bebe36a6e4904681d03c50f2c025ad23500f2398adf4259530ded

Recommendations

The recommendations provided by Gauntlet

WBTC config:

№ Name Value
1 WBTC token
2 Collateral Factor 80%
3 Liquidation Factor 85%
4 Liquidation Penalty 10%
5 Supply Cap 120(e8)
6 Decimals 8
7 Address 0x927B51f251480a681271180DA4de28D44EC4AfB8
8 Price Feed 0xFa454dE61b317b6535A0C462267208E8FdB89f45

ezETH config:

№ Name Value
1 ezETH token
2 Collateral Factor 88%
3 Liquidation Factor 91%
4 Liquidation Penalty 8%
5 Supply Cap 2200(e18)
6 Decimals 18
7 Address 0x2416092f143378750bb29b79eD961ab195CcEea5
8 Price Feed 0x1Ad4CEBa9f8135A557bBe317DB62Aa125C330F26

wstETH config:

№ Name Value
1 wstETH token
2 Collateral Factor 90%
3 Liquidation Factor 93%
4 Liquidation Penalty 3%
5 Supply Cap 5000(e18)
6 Decimals 18
7 Address 0xc02fE7317D4eb8753a02c35fe019786854A92001
8 Price Feed 0x3870FAc3De911c12A57E5a2532D15aD8Ca275A60

weETH config:

№ Name Value
1 weETH token
2 Collateral Factor 90%
3 Liquidation Factor 93%
4 Liquidation Penalty 4%
5 Supply Cap 5000(e18)
6 Decimals 18
7 Address 0x7DCC39B4d1C53CB31e1aBc0e358b43987FEF80f7
8 Price Feed 0x2e44e174f7D53F0212823acC11C01A11d58c5bCB

UNI config:

№ Name Value
1 UNI token
2 Collateral Factor 70%
3 Liquidation Factor 75%
4 Liquidation Penalty 20%
5 Supply Cap 500_000(e18)
6 Decimals 18
7 Address 0x8f187aa05619a017077f5308904739877ce9ea21
8 Price Feed 0x84E93EC6170ED630f5ebD89A1AAE72d4F63f2713

IR Curve Parameters:

№ Name Value
1 Annual Borrow Interest Rate Base 0.01
2 Annual Borrow Interest Rate Slope Low 0.0155
3 Borrow Kink 0.9
4 Annual Borrow Interest Rate Slope High 1.26
5 Annual Supply Interest Rate Base 0
6 Annual Supply Interest Rate Slope Low 0.0216
7 Supply Kink 0.9
8 Annual Supply Interest Rate Slope High 1.125

Targeted Reserves: 5000 WETH
Storefront price factor: 70%
Seed reserves: 100 ETH

All deployed contracts during deployment/preparation.

№ Contract name Contract address Link to contract
1 ConstantPriceFeed 0x3C30B5a5A04656565686f800481580Ac4E7ed178 Link
2 ReverseMultiplicativePriceFeed 0xFa454dE61b317b6535A0C462267208E8FdB89f45 Link
3 ScalingPriceFeed 0x1Ad4CEBa9f8135A557bBe317DB62Aa125C330F26 Link
4 ScalingPriceFeed 0x3870FAc3De911c12A57E5a2532D15aD8Ca275A60 Link
5 ScalingPriceFeed 0x2e44e174f7D53F0212823acC11C01A11d58c5bCB Link
6 ReverseMultiplicativePriceFeed 0x84E93EC6170ED630f5ebD89A1AAE72d4F63f2713 Link
7 CometExtAssetList 0x443EA0340cb75a160F31A440722dec7b5bc3C2E9 Link
8 CometWithExtendedAssetList 0xe165155c34fE4cBfC55Fc554437907BDb1Af7e3e Link
9 TransparentUpgradeableProxy 0x6C987dDE50dB1dcDd32Cd4175778C2a291978E2a Link

Actions

№ Action name Link Status
1 Run Slither Link Fail
2 Run Forge Tests Link Success
3 Run Tests With Gas Profiler Link Success
4 Run Semgremp Link Success
5 Run Scenarios (unichain-weth) Link Success
6 Run Unit Tests Link Success
7 Run ESLint Link Success
8 Run Contact Linter Link Success
9 Run Deploy Link Success
10 Run Enact impersonate Link Success
11 Run Enact Link Run by delegator

Artifacts

№ Name Value
1 Migration name 1745497918_configurate_and_ens
2 Branch name woof-software/add-unichain-weth-market
3 Network unichain
4 Deployment weth

Price feeds

№ Name Address Provider Route
1 WETH 0xe8D9FbC10e00ecc9f0694617075fDAF657a76FB2 RedStone ETH/USD
2 WBTC 0xc44be6D00307c3565FDf753e852Fc003036cBc13 RedStone BTC/USD
3 ezETH 0xa0f2EF6ceC437a4e5F6127d6C51E1B0d3A746911 RedStone ezETH/ETH
4 wstETH 0x24c8964338Deb5204B096039147B8e8C3AEa42Cc RedStone wstETH/ETH
5 weETH 0xBf3bA2b090188B40eF83145Be0e9F30C6ca63689 RedStone weETH/ETH
6 UNI 0xf1454949C6dEdfb500ae63Aa6c784Aa1Dde08A6c RedStone UNI/USD

Description

# Initialize cWETHv3 on Unichain\n\n

## Proposal summary\n\n

Compound Growth Program [AlphaGrowth] proposes the deployment of Compound III to the Unichain network. This proposal takes the governance steps recommended and necessary to initialize a Compound III WETH market on Unichain; upon execution, cWETHv3 will be ready for use. Simulations have confirmed the market’s readiness, as much as possible, using the [Comet scenario suite](https://github.com/compound-finance/comet/tree/main/scenario). The new parameters include setting the risk parameters based off of the [recommendations from Gauntlet](https://www.comp.xyz/t/alphagrowth-add-market-eth-on-unichain/6712/2).\n\n

Further detailed information can be found on the corresponding [proposal pull request](https://github.com/compound-finance/comet/pull/983), [deploy market GitHub action run](https://github.com/woof-software/comet/actions/runs/14789485605) and [forum discussion](https://www.comp.xyz/t/alphagrowth-add-market-eth-on-unichain/6712).\n\n\n

## Price feeds\n\n

For wstETH deployment, uses market rate price feed whereas for ezETH and weETH, exchange price feeds are used. The price feed provider is Redstone as on the USDC Unichain market.\n\n

## Proposal Actions\n\n

The first action bridges 100 ETH as seed reserves from Mainnet Timelock to Unichain L2 Timelock using UnichainL1StandardBridge.\n\n

The second action transfers 3,600 COMP as rewards from the Comptroller to Timelock.\n\n

The third action approves 3,600 COMP to be bridged to Unichain via UnichainL1StandardBridge.\n\n

The fourth action bridges 3,600 COMP to Unichain via UnichainL1StandardBridge.\n\n

The fifth proposal action sets the Comet configuration and deploys a new Comet implementation on Unichain. This sends the encoded `setFactory`, `setConfiguration`, `deployAndUpgradeTo`and `setRewardConfig` calls across the bridge to the governance receiver on Unichain. Supply rewards are 12 COMP per day, and borrow rewards are 8 COMP per day. Finally, bridged ETH is wrapped to WETH and transferred to Comet as seed reserves.\n\n

The sixth action updates the ENS TXT record `v3-official-markets` on `v3-additional-grants.compound-community-licenses.eth`, updating the official markets JSON to include the new Unichain cWETHv3 market.

1 Like
4

We noticed the address that created the proposal on Tally is not associated with a known entity or past governance history. Can someone please confirm this is the correct onchain proposal?

6

It is a WOOF!'s wallet whitelisted for on-chain proposals.

7

Hello Compound community,

My name is Vaishak, and I’m a DeFi Analyst at Kelp DAO.

We’re reaching out to explore opportunities for expanding rsETH and wrsETH support across Compound markets.

We would like to request the listing of rsETH on the WETH market on Unichain. Additionally, it would be beneficial to consider listing it on stablecoin markets on Ethereum Mainnet, where liquidity and user demand are growing.

Both rsETH and wrsETH are already listed on several Compound markets across different chains. You can find the initial discussion and background on our assets here

Looking forward to engaging further with the community and working toward deeper integration

8

[Gauntlet] - Parameter Recommendations for rsETH on V3 Unichain WETH Comet

Simple Summary

Should the community choose to onboard rsETH to the V3 Unichain WETH comet, Gauntlet recommends the following risk parameters:

WETH Comet

Asset Collateral Factor Liquidation Factor Liquidation Penalty Supply Cap Chain
rsETH 90% 93% 4% 1,000 Unichain

Liquidity Sources

Asset DEX Pool_name TVL 24H $ Volume Pool
rsETH Uniswap V4 (Unichain) rsETH / ETH 0.01% $14.81M $2,449,869 Link

Total TVL: $14.81M

image
image2048×1360 147 KB

Rationale

Gauntlet recommends aligning the Liquidation Penalty, Collateral Factor, and Liquidation Factor to be similar to rsETH on mainnet. The slippage on 1000 rsETH is minimal and could support a higher cap, but Gauntlet would like to highlight that this pool has been part of Unichain’s incentive program and has received UNI incentives for the past 3 months. The incentives for this pool ended last week, and we have observed TVL volatility following the end of the incentive program.

Gauntlet recommends a conservative approach for rsETH on Unichain initially, but plans to revisit caps based on demonstrated user demand in the coming weeks.

Next Steps

  • We welcome community feedback.
1 Like
9

[Gauntlet] Recommendations for rsETH on Mainnet USDC and USDT Comet

Simple Summary

Should the community choose to onboard rsETH on the Compound V3 USDC and USDT Comets on Mainnet, we recommend the following initial parameter recommendations:

Risk Parameters

Comet Collateral Factor (CF) Liquidation Factor (LF) Liquidation Penalty (LP) Supply Cap
Mainnet USDC 85% 90% 5% 1500
Mainnet USDT 85% 90% 5% 1500
  • Collateral Factor, Liquidation Factor & Penalty: rsETH LTVs are similar to mETH LTV on USDT Comet.
    • rsETH ($1.8B) and mETH ($1.4B) are similar in terms of market cap size
    • We recommend that rsETH list with similar LTV ratios as mETH
  • Supply Cap: 3000 rsETH (total caps for Mainnet USDC and USDT Comets) can be swapped to ETH with ~3% slippage

image
image2048×1321 195 KB

DEX Liquidity

Asset DEX Pool Name Pool TVL (USD) 24 h Volume (USD) URL
rsETH Uniswap V3 wstETH / rsETH 0.05% 11,643,647 818,841 Link
rsETH Balancer rsETH / WETH / rsETH / WETH 0.01% 8,555,675 - Link
rsETH Balancer rsETH / agETH / agETH / rsETH 0.04% 5,396,840 724,314 Link
rsETH Uniswap V3 rsETH / ETHx 0.3% 3,164,521 932 Link

Total DEX liquidity for rsETH is approximately $29.1M

Oracles

We recommend using the same on-chain oracle for the rsETH to ETH conversion, then leveraging Chainlink’s ETH/USD price feed for the cross-rate.

Next Steps

We welcome community feedback.

10

Add rsETH to the WETH market on Unichain

PR - Add rsETH to cWETHv3 on Unichain by MishaShWoof · Pull Request #1003 · compound-finance/comet · GitHub
PR(woof) - Add rsETH to cWETHv3 on Unichain by MishaShWoof · Pull Request #176 · woof-software/comet · GitHub

Proposal - Tally | Compound | Add rsETH as collateral into cWETHv3 on Unichain

Recommendations
The recommendations provided by Gauntlet

№ Name Value
1 Name rsETH
2 rsETH token Decimals 18
3 rsETH token Address 0xc3eACf0612346366Db554C991D7858716db09f58
4 Price oracle address 0x85C4F855Bc0609D2584405819EdAEa3aDAbfE97D
5 Collateral Factor 90%
6 Liquidation Factor 93%
7 Liquidation Penalty 4%
8 SupplyCap 1000(e18)

Actions

№ Action name Link Status
1 Run Slither Link Success
2 Run Forge Tests Link Success
3 Run Tests With Gas Profiler Link Success
4 Run Semgremp Link Success
5 Run Scenarios (unichain-weth) Link Success
6 Run Unit Tests Link Success
7 Run ESLint Link Success
8 Run Contact Linter Link Success
9 Run Enact impersonate Link Success
10 Tenderly simulation on Ethereum Link Success
11 Tenderly simulation on Unichain Link Success
12 Run Enact (by delegator) Link Success

Artifacts

№ Name Value
1 Migration name 1753711155_add_rseth_as_collateral
2 Branch name woof-software/add-rseth-to-unichain-weth
3 Prepare id -
4 Network unichain
5 Deployment weth

Description

Add rsETH as collateral into cWETHv3 on Unichain

Proposal summary

WOOF! proposes to add rsETH into cWETHv3 on Unichain network. This proposal takes the governance steps recommended and necessary to update a Compound III WETH market on Unichain. Simulations have confirmed the market’s readiness, as much as possible, using the Comet scenario suite. The new parameters include setting the risk parameters based off of the recommendations from Gauntlet.

Further detailed information can be found on the corresponding proposal pull request and forum discussion.

Proposal Actions

The first proposal action adds rsETH to the WETH Comet on Unichain. This sends the encoded ‘addAsset’ and ‘deployAndUpgradeTo’ calls across the bridge to the governance receiver on Unichain.

11

Add rsETH to the USDC market on Mainnet

PR - Add rsETH to cUSDCv3 and cUSDTv3 on Mainnet by MishaShWoof · Pull Request #1005 · compound-finance/comet · GitHub
PR(woof) - Add rsETH to cUSDCv3 and cUSDTv3 on Mainnet by MishaShWoof · Pull Request #178 · woof-software/comet · GitHub
Proposal - https://www.tally.xyz/gov/compound/proposal/469

Recommendations
The recommendations provided by Gauntlet

№ Name Value
1 Name rsETH
2 rsETH token Decimals 18
3 rsETH token Address 0xA1290d69c65A6Fe4DF752f95823fae25cB99e5A7
4 Price oracle address 0x9d2F2f96B24C444ee32E57c04F7d944bcb8c8549
5 Collateral Factor 85%
6 Liquidation Factor 90%
7 Liquidation Penalty 5%
8 SupplyCap 1500(e18)

Actions

№ Action name Link Status
1 Run Slither Link Success
2 Run Forge Tests Link Success
3 Run Tests With Gas Profiler Link Success
4 Run Semgremp Link Success
5 Run Scenarios (mainnet-usdc) Link Success
6 Run Unit Tests Link Success
7 Run ESLint Link Success
8 Run Contact Linter Link Success
9 Run Prepare Link Success
10 Run Enact impersonate Link Success
11 Tenderly simulation on Mainnet Link Success
12 Run Enact (by delegator) Link Success

Artifacts

№ Name Value
1 Migration name 1753715731_add_rseth_collateral
2 Branch name woof-software/add-rseth-to-mainet-usdc-and-usdt
3 Prepare id 16593428416
4 Network mainnet
5 Deployment usdc

Add rsETH as collateral into cUSDCv3 on Mainnet

Proposal summary

WOOF! proposes to add rsETH into cUSDCv3 on Ethereum network. This proposal takes the governance steps recommended and necessary to update a Compound III USDC market on Ethereum. Simulations have confirmed the market’s readiness, as much as possible, using the Comet scenario suite. The new parameters include setting the risk parameters based on the recommendations from Gauntlet.

Further detailed information can be found on the corresponding proposal pull request and forum discussion.

Proposal Actions

The first action adds rsETH asset as collateral with corresponding configurations.

The second action deploys and upgrades Comet to a new version.