December 2023
Summary
Sharing a recap of Gauntlet’s market risk management work with Compound in December 2023. See below for this past month’s work summary and a preview of what’s coming up in January 2024.
Highlights
- Executed V2 Deprecation (Phase 5), published V2 Deprecation (Phase 6) on-chain
- Arbitrum v3 USDC Native, Arbitrum v3 USDC.e, Base v3 USDbC - Interest rate recommendations
- Published weekly market updates for all Compound comets: Arbitrum USDC.e, Arbitrum Native USDC, Polygon USDC.e, Ethereum USDC, Ethereum ETH, BASE USDbC, BASE WETH
| Category | Work Completed | Commentary |
|---|---|---|
| Quantitative Research | Continuous research on Incentive Optimization for Compound’s incentive rewards |
Incentives are used to bootstrap liquidity, promote growth, and facilitate decentralized governance growth. |
| Recommendations | Executed V2 Deprecation (Phase 5), published V2 Deprecation (Phase 6) on-chain Interest Rate Curve recommendations on Polygon v3 USDC.e Polygon v3 USDC.e risk recommendations Arbitrum v3 USDC Native, Arbitrum v3 USDC.e, Base v3 USDbC - Interest rate recommendations Ethereum v3 USDC & Polygon v3 USDC.e Interest Rate Curve recommendations wstETH initial asset listing parameter recommendations |
Daily risk simulations and stress tests. |
| Risk Modeling and Incentive Optimization | Reward recommendations on Ethereum v3 USDC comet Polygon rewards contract top-up recommendations Published weekly market updates for all Compound comets: Arbitrum USDC.e, Arbitrum Native USDC, Polygon USDC.e, Ethereum USDC, Ethereum ETH, BASE USDbC, BASE WETH |
Risk modeling to provide insight into new market launches for Compound as well as protocol-wide initiatives. Data-driven incentive optimization to help bootstrap liquidity, promote growth and facilitate decentralized governance growth. |
| Feature Upgrades | Launched Slippage Curve Charts on Gauntlet’s risk dashboard. Covering a wide range of tokens and chains, the charts can be filtered to focus on the collateral safety of each asset on a specific L1 or L2. | Gauntlet continuously upgrades its product offering. |
| Risk Alerts | Continued updates from our alerting platform |
Risk monitoring and alerting is part of Gauntlet’s market risk management offering. |
Upcoming Selected Work
- Execute V2 Deprecation (Phase 6)
- On-chain proposal for Polygon v3 USDC.e - Risk Recommendations
- Continuous monitoring of utilization levels and supply cap usage across all Compound comets
- Continue support of community initiatives and market alerts
We are happy to answer any questions or hear any feedback from the community.