Simple Summary
Gauntlet recommends the following supply cap adjustments to the protocol:
Supply Cap Recommendations
| Status | Comet | Asset | Supply Cap |
|---|---|---|---|
| Current | Arbitrum USDT | GMX | 100,000 |
| Proposed | Arbitrum USDT | GMX | 50,000 |
| Current | Ethereum USDS | WETH | 50,000 |
| Proposed | Ethereum USDS | WETH | 25,000 |
| Current | Ethereum USDT | weETH | 25,000 |
| Proposed | Ethereum USDT | weETH | 12,500 |
| Current | Ethereum WETH | cbETH | 10,000 |
| Proposed | Ethereum WETH | cbETH | 5,000 |
| Current | Ethereum WETH | rETH | 30,000 |
| Proposed | Ethereum WETH | rETH | 15,000 |
| Current | Unichain WETH | UNI | 500,000 |
| Proposed | Unichain WETH | UNI | 250,000 |
Rationale
The markets below have demonstrated low user demand over the past 30 days, with supply cap utilization consistently staying well below 5%. 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 (maximum over last 30 days) |
|---|---|---|
| Arbitrum USDT | GMX | 0.44% |
| Ethereum USDS | WETH | 0.29% |
| Ethereum USDT | weETH | 3.48% |
| Ethereum WETH | cbETH | 0.24% |
| Ethereum WETH | rETH | 0.11% |
| Unichain WETH | UNI | 0.18% |
Next Steps
- We welcome community feedback.