Simple Summary
Gauntlet recommends the following supply cap adjustments to the protocol:
Supply Cap Recommendations
| Status | Comet | Asset | Supply Cap |
|---|---|---|---|
| Current | Ethereum wstETH | rsETH | 10000 |
| Proposed | Ethereum wstETH | rsETH | 5000 |
| Current | Ethereum WETH | rETH | 30000 |
| Proposed | Ethereum WETH | rETH | 3000 |
| Current | Ethereum WETH | ezETH | 80000 |
| Proposed | Ethereum WETH | ezETH | 20000 |
| Current | Ethereum WETH | osETH | 10000 |
| Proposed | Ethereum WETH | osETH | 5000 |
| Current | Ethereum WETH | weETH | 67500 |
| Proposed | Ethereum WETH | weETH | 33750 |
Rationale
The markets below have demonstrated low user demand over the past 30 days, with average supply cap utilization consistently staying below 20%. To reduce risk exposure to the protocol, we recommend lowering the supply caps for these markets by 50%. We note that cap reductions will not affect currently open positions.
| Comet | Asset | Supply Cap Utilization (average over last 30 days) |
|---|---|---|
| Ethereum wstETH | rsETH | 1.55% |
| Ethereum WETH | rETH | 0.10% |
| Ethereum WETH | ezETH | 6.35% |
| Ethereum WETH | osETH | 17.51% |
| Ethereum WETH | weETH | 9.48% |
Next Steps
- Gauntlet will continue monitoring market utilization and propose future cap adjustments accordingly.
- We welcome community feedback.