Simple Summary
Gauntlet recommends the following supply cap adjustments to the protocol:
Supply Cap Recommendations
| Status | Comet | Asset | Supply Cap |
|---|---|---|---|
| Current | Polygon USDC | stMATIC | 8,000,000 |
| Proposed | Polygon USDC | stMATIC | 4,000,000 |
| Current | Ethereum wstETH | ezETH | 15,000 |
| Proposed | Ethereum wstETH | ezETH | 7,500 |
| Current | Ethereum WETH | ETHx | 2,100 |
| Proposed | Ethereum WETH | ETHx | 1,050 |
| Current | Ethereum WETH | tBTC | 315 |
| Proposed | Ethereum WETH | tBTC | 157 |
| Current | Ethereum WETH | rswETH | 1000 |
| Proposed | Ethereum WETH | rswETH | 500 |
| Current | Ethereum USDS | USDe | 50,000,000 |
| Proposed | Ethereum USDS | USDe | 25,000,000 |
| Current | Arbitrum USDC.e | GMX | 50,000 |
| Proposed | Arbitrum USDC.e | GMX | 25,000 |
Rationale
The outlined markets have demonstrated low user demand over the past 30 days, with supply cap utilization consistently staying well below 1%. 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 | Utilization (maximum over last 30 days) |
|---|---|---|
| Polygon USDC | stMATIC | 0.01% |
| Ethereum wstETH | ezETH | 0.02% |
| Ethereum WETH | ETHx | 0.00% |
| Ethereum WETH | tBTC | 0.00% |
| Ethereum WETH | rswETH | 0.05% |
| Ethereum USDS | USDe | 0.04% |
| Arbitrum USDC.e | GMX | 0.02% |
Next Steps
- We welcome community feedback.