[Gauntlet] Supply Cap Recommendation Proposals

[Gauntlet] Supply Cap Recommendations (10/21/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Arbitrum V3 WETH Comet’s ezETH Supply Cap from 6400 to 10240.
  • Increase Base V3 WETH Comet’s ezETH Supply Cap from 2000 to 3200.
  • Increase Optimism V3 WETH Comet’s wrsETH Supply Cap from 220 to 440

Motivation

Arbitrum V3 WETH Comet - ezETH

Base V3 WETH Comet - ezETH

Optimism V3 WETH Comet’s wrsETH

Top Suppliers

Arbitrum V3 WETH Comet - ezETH

Base V3 WETH Comet - ezETH

wrsETH Unwrap Limit

Given the use of exchange rate oracles, gauntlet advises according to the available unwrap limit for wrsETH to rsETH, since unwrapping wrsETH to access the underlying or staked ETH is only possible through conversion to rsETH.

Chain Unwrap Limit
Optimism 1,258

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal
2 Likes

Given the increasing market demand for the following assets, Gauntlet recommends further cap changes

Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase WETH Optimism ezETH supply cap from 2,400 to 3,200
  • Increase USDC Optimism wstETH supply cap from 600 to 1,000
  • Increase USDC Arbitrum wstETH supply cap from 5,000 to 7,500
  • Increase USDC Arbitrum ezETH supply cap from 500 to 1,400

Analysis

Optimism

Slippage - Liquidating top 10 suppliers of wstETH USDC on Optimism

Arbitrum

Slippage - liquidating top 10 suppliers of wstETH USDC Comet on Arbitrum

25% Slippage - Supply Cap of ezETH USDC on Arbitrum

Next Step

  • Welcome community feedback
  • Submit on-chain proposal
1 Like

[Gauntlet] Supply Cap Recommendations (10/28/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Optimism V3 WETH Comet’s weETH Supply Cap from 400 to 600.
  • Increase Base V3 USDC Comet’s cbBTC Supply Cap from 45 to 72.

Motivation

Please review the daily utilization of Optimism V3 WETH Comet’s weETH and Base V3 USDC Comet’s cbBTC supply cap. Currently, the utilization has reached above 75%.

Optimism V3 WETH Comet - weETH

Base V3 USDC Comet - cbBTC

Top Suppliers

Optimism V3 WETH Comet - weETH

Base V3 USDC Comet - cbBTC

Slippage - Supply Cap of Optimism V3 WETH Comet - weETH

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal
1 Like

[Gauntlet] - Supply Cap Recommendations - (2024-11-04)

Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase WETH Mainnet ezETH supply cap from 50,000 to 80,000
  • Increase WETH Mainnet rsETH supply cap from 5,000 to 10,000

Analysis

Top 5 Supply Positions for ezETH in WETH Mainnet Comet

The top 2 largest suppliers for ezETH make up for all most all of the supply cap.

Top 5 Supply Positions for rsETH in WETH Mainnet Comet

Given the employement of Exchange Rate oracles, the only pathway to liquidation would be accrual of interest. Given the supplies, the largest positions show significant health as seen in their collateralization ratios.

Next Step

  • Welcome community feedback
  • Submit on-chain proposal

[Gauntlet] Supply Cap Recommendations (11/05/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Optimism V3 USDT Comet’s wstETH Supply Cap from 400 to 800.

Utilization

Top Suppliers

Optimism V3 USDT Comet - wstETH

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (11/11/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Base V3 USDC Comet’s cbBTC Supply Cap from 45 to 90.

Utilization

Top Suppliers

Base V3 USDC Comet’s cbBTC

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (11/12/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Mainnet V3 WETH Comet’s rsETH Supply Cap from 5000 to 37000.
  • Increase Optimism V3 USDC Comet’s wstETH Supply Cap from 600 to 1200.
  • Increase Arbitrum V3 WETH Comet’s ezETH Supply Cap from 10,240 to 12000.

Utilization

Top Suppliers

Optimism V3 USDC Comet’s wstETH

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (11/26/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Mainnet V3 USDT Comet’s sFRAX Supply Cap from 10,000,000 to 20,000,000.
  • Increase Base V3 WETH Comet’s weETH Supply Cap from 2100 to 4200.
  • Increase Base V3 USDC Comet’s cbBTC Supply Cap from 90 to 180.

Utilization


Top Suppliers

Mainnet V3 USDT Comet’s sFRAX

Base V3 WETH Comet’s weETH

Base V3 USDC Comet’s cbBTC

Slippage

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (11/27/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Optimism V3 WETH Comet’s wrsETH Supply Cap from 440 to 560.

Utilization

Top Suppliers

Optimism V3 WETH Comet

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (12/03/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Ethereum V3 USDC Comet’s cbBTC Supply Cap from 93 to 180.

Utilization

Top Suppliers

Ethereum V3 USDC Comet’s cbBTC

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (12/04/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Ethereum V3 USDC Comet’s LINK Supply Cap from 1,000,000 to 2,000,000.

Utilization

Top Suppliers

Ethereum V3 USDC Comet’s LINK

Slippage

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (12/05/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Base V3 USDC Comet’s wstETH Supply Cap from 700 to 1400.

Utilization

Top Suppliers

Base V3 USDC Comet’s wstETH

Slippage

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (12/09/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Base V3 USDC Comet’s cbBTC Supply Cap from 90 to 180.

Utilization

Top Suppliers

Base V3 USDC Comet’s cbBTC

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (12/11/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Optimism V3 WETH Comet’s wrsETH Supply Cap from 440 to 520.

Utilization

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

We have a couple of questions:

  • sFRAX supply cap has been increased since 12/9, but the graph only shows the utilization data until 12/8. We don’t have a clear idea about how the additional increase is needed based on this.
  • According to the screenshot of the top supplier data, only a little over 10M has been supplied, which hasn’t been changed. Any other big suppliers that are supposed to be shown in this graph?
  • Would you provide the address of the sFRAX top supplier in text, not in an image?

[Gauntlet] Supply Cap Recommendations (12/16/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Ethereum V3 USDT Comet’s sFRAX Supply Cap from 20,000,000 to 24,000,000.
  • Increase Base V3 WETH Comet’s weETH Supply Cap from 4,200 to 15,000.
  • Increase Base V3 USDC Comet’s wstETH Supply Cap from 1,400 to 3,000.

Utilization

Base V3 USDC Comet’s wstETH

Slippage

Base V3 USDC Comet’s wstETH

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] Supply Cap Recommendations (12/19/24)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Ethereum V3 USDC Comet’s cbBTC Supply Cap from 180 to 650.
  • Increase Optimism V3 WETH Comet’s weETH Supply Cap from 600 to 800.

Slippage

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal

[Gauntlet] - Supply Cap Recommendations - (1/4/25)

Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase USDC Mainnet cbBTC supply cap from 650 to 900
  • Increase USDT Mainnet cbBTC supply cap from 93 to 500
  • Increase USDT Mainnet sFRAX supply cap from 20,000,000 to 30,000,000
  • Increase USDT Mainnet wstETH supply cap from 45,000 to 60,000
  • Increase WETH Optimism wrsETH supply cap from 520 to 800
  • Increase WETH Optimism weETH supply cap from 800 to 1000

Analysis

Supply caps for assets in WETH Comets across all chains that use exchange rate can be effectively increased relative to the circulating supply on the respective chain.

Mainnet Comets

cbBTC USDC Mainnet - Top 10 Suppliers

cbBTC USDT Mainnet - Top 10 Suppliers

sFRAX USDT Mainnet - Top 10 Suppliers

wstETH USDT Mainnet - Top 10 Suppliers

Next Step

  • Submit on-chain proposal

[Gauntlet] - Supply Cap Recommendations - (1/6/25)

Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase WETH Optimism wstETH supply cap from 1300 to 3900
  • Increase WETH Optimism rETH supply cap from 470 to 1200

Analysis

Supply caps for assets in WETH Comets across all chains that use exchange rate can be effectively increased relative to the circulating supply on the respective chain.

Next Step

  • Submit on-chain proposal
1 Like

[Gauntlet] Supply Cap Recommendations (01/15/25)

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

  • Increase Ethereum V3 USDC Comet’s tBTC Supply Cap from 285 to 570.

Utilization

Top Positions

Next Steps

  • Welcome feedback from the community
  • Post recommendations to on-chain proposal