Simple Summary
Gauntlet recommends the following risk parameter updates for the Optimism v3 USDC comet:
- Increase WETH Supply Cap from 1,600 to 2,600
- Increase OP Supply Cap from 700,000 to 1,400,000
- Increase WBTC Supply Cap from 60 to 100
Gauntlet recommends the following risk parameter updates for the Optimism v3 USDT comet:
- Increase WETH Supply Cap from 1,600 to 2,600
- Increase OP Supply Cap from 500,000 to 1,000,000
- Increase WBTC Supply Cap from 60 to 100
Analysis
Based on user positions and the current liquidation penalty settings for WETH, WBTC and OP collaterals, Gauntlet recommends increasing the supply caps to enhance capital efficiency within the USDC and USDT Comet. Given the liquidity available within on-chain decentralized exchanges, current large positions can be effectively managed in the event of liquidating an unhealthy position.
Additionally, Compound has been awarded OP incentives for next week, prompting Gauntlet to recommend raising supply caps in preparation for increased growth incentives.
USDC Comet
WETH Supply Positions on USDC Comet
OP Supply Positions on USDC Comet
WBTC Supply Positions on USDC Comet
The largest position at address 0xd38565dfbd5c6b3f12906aa0654965bb2cc97f29 has a health factor of 1.10, supported by approximately $200k worth of WBTC and $295k worth of WETH as collateral.
USDT Comet
WBTC Supply Positions on USDT Comet
The largest WBTC position, collateralized with $500k, has a health factor of 1.40 and can be liquidated safely in case of undercollateralization.
WETH Supply Positions on USDT Comet
OP Supply Positions on USDT Comet
Currently, OP collateralized positions are relatively small, with the largest position around $60k. Gauntlet suggests raising the caps to expand the remaining capacity beyond $1M, aiming to attract larger OP suppliers.
Next Steps
- Community Feedback
- Submit on-chain proposal next week