Summary
Gauntlet recommends the following risk recommendations to the protocol:
- Increase WETH Optimism ezETH supply cap from 400 to 750
Analysis
Top 10 Supply Positions for ezETH in OP Comet
The top 2 largest suppliers for ezETH make up for all most all of the supply cap. The proposed increase in supply cap should allow more users to be able to borrow against their ezETH collateral.
Top 10 ezETH Supplier’s Collateralization Ratios
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