Simple Summary
Gauntlet recommends the following risk recommendations to the protocol:
- Increase USDT Ethereum Comet’s wstETH Supply Cap from 15,000 to 20,000
Motivation
Please review the daily utilization of USDT Ethereum Comet’s wstETH supply cap. Currently, the utilization has reached its maximum limit.
Analysis
wstETH DEX Liquidity Sources
Total DEX liquidity on Ethereum is $347.46M.
wstETH → WETH
| pool_name | pool_type | pool_url | pool_tvl_usd | volume_24h_usd |
|---|---|---|---|---|
| wstETH / wstETH-WETH-BPT / WETH 0.01% | balancer_ethereum | Link | $13.73M | $38.41M |
| wstETH / WETH 0.01% | pancakeswap-v3-ethereum | Link | $2.06M | $307.09K |
| wstETH / WETH 0.01% | balancer_ethereum | Link | $892.68K | $880.08K |
Total DEX liquidity for wstETH–>WETH pair is ~$40M.
Swapping 20k wstETH to USDT incurs <25% slippage.
Top Suppliers of wstETH
wstETH exhibits a good liquidity profile on the Mainnet. Currently, the Mainnet ecosystem possesses sufficient liquidity to absorb the five largest positions within the system should a liquidation event occur.
Swapping ~$10M wstETH to USDT incurs ~2% slippage.
Next Steps
- Welcome feedback from the community
- Post recommendations to on-chain proposal