KVORUM
aaveSource: Aave governance v3 · #271

Stablecoins Interest Rate Curve Update

executedMar 18, 2025, 02:42 PM UTCby570x57ab…2922

01Summary

AISummary by Kvorumclaude-haiku-4-5

Chaos Labs recommends reducing the target borrow rate (Slope1) for most stablecoins across Aave V3 from current levels (8.50%-9.50%) to a uniform 6.50% across 12 blockchain networks and multiple instances. This change responds to falling stablecoin utilization and aligns rates with market-priced interest rates of 6%-8%. GHO, USDS, and pyUSD are excluded from this recommendation.

Type
parameter change

Key changes

  • Reduce target borrow rate (Slope1) for USDC, DAI, USDT, LUSD, FRAX, crvUSD, and USDe on Ethereum Core from 8.50% to 6.50%(high)
  • Reduce target borrow rate (Slope1) for multiple stablecoins on Arbitrum, Optimism, and other L2s from 9.00%-9.50% to 6.50%(high)
  • Reduce target borrow rate (Slope1) for stablecoins on Avalanche, BNB, Gnosis, Scroll, and ZkSync from 8.50%-9.50% to 6.50%(high)
  • Standardize target rate to 6.50% across all included stablecoin assets and instances to align with market interest rates of 6%-8%(medium)

Notable concerns

  • Proposal reduces borrowing costs significantly across the protocol, which may increase stablecoin utilization but could impact lender yields
  • GHO, USDS, and pyUSD are managed separately and explicitly excluded from this recommendation
ContractsAaveV3EthereumAaveV3EthereumLidoAaveV3EthereumEtherFiAaveV3PolygonAaveV3AvalancheAaveV3OptimismAaveV3ArbitrumAaveV3MetisAaveV3BaseAaveV3GnosisAaveV3ScrollAaveV3BNBAaveV3ZkSync
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
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02Description

656 words

Simple Summary

In light of recent market changes, Chaos Labs recommends setting the target borrow rate for most stablecoins to 6.50%. These changes would be implemented via the direct-to-AIP process.

Motivation

The utilization for stablecoins across Aave has resumed falling after a brief improvement following the last IR curve adjustment, calling for a further reduction in target rates to better align with the market-priced interest rate.

A closer look at the largest stablecoin markets indicates that borrow rates have stabilized between 6% and 8%.

As a result, we recommend setting the target rate for all stablecoins to 6.5%;

Please note that GHO, USDS, and pyUSD are managed separately and, thus, are not included in these recommendations.

Specification

ProtocolInstanceAssetCurrent Slope1Rec. Slope1
Aave V3Ethereum CoreUSDC8.50%6.50%
Aave V3Ethereum CoreDAI8.50%6.50%
Aave V3Ethereum CoreUSDT8.50%6.50%
Aave V3Ethereum CoreLUSD8.50%6.50%
Aave V3Ethereum CoreFRAX8.50%6.50%
Aave V3Ethereum CorecrvUSD8.50%6.50%
Aave V3Ethereum CoreUSDe8.50%6.50%
Aave V3Ethereum PrimeUSDC8.50%6.50%
Aave V3Ethereum EtherFiUSDC8.50%6.50%
Aave V3Ethereum EtherFiFRAX8.50%6.50%
Aave V3ArbitrumDAI9%6.50%
Aave V3ArbitrumUSDT9%6.50%
Aave V3ArbitrumLUSD9%6.50%
Aave V3ArbitrumUSDC9%6.50%
Aave V3ArbitrumFRAX9%6.50%
Aave V3OptimismDAI9%6.50%
Aave V3OptimismUSDT9%6.50%
Aave V3OptimismsUSD9%6.50%
Aave V3OptimismLUSD9%6.50%
Aave V3OptimismUSDC9%6.50%
Aave V3BaseUSDC9%6.50%
Aave V3Metism.DAI9.50%6.50%
Aave V3Metism.USDC9.50%6.50%
Aave V3Metism.USDT9.50%6.50%
Aave V3AvalancheDAI.e8.50%6.50%
Aave V3AvalancheUSDC8.50%6.50%
Aave V3AvalancheUSDt8.50%6.50%
Aave V3AvalancheFRAX8.50%6.50%
Aave V3AvalancheAUSD8.50%6.50%
Aave V3GnosisWXDAI9%6.50%
Aave V3GnosisEURe9%6.50%
Aave V3GnosisUSDC.e9%6.50%
Aave V3BNBUSDC8.50%6.50%
Aave V3BNBUSDT8.50%6.50%
Aave V3BNBFDUSD8.50%6.50%
Aave V3ScrollUSDC8.50%6.50%
Aave V3ZkSyncUSDC8.50%6.50%
Aave V3ZkSyncUSDT8.50%6.50%

References

Copyright

Copyright and related rights waived via CC0.

03Mismatch analysis

AIMismatch analysis by Kvorummedium confidenceclaude-sonnet-5
Consistent

placeholder

Generated by Kvorum
model: claude-sonnet-5
provider: anthropic
profile: anthropic-strong-v1
prompt: v1.0
generated: 2mo ago
Review the decoded actions ↗

04Actions

3 total
#0fallback()chain 0x1
Target
0x50fb…b440
Value
0 wei
Function
fallback()
Arguments
{}
Calldata
#1fallback()chain 0x1
Target
0xaf54…2ed4
Value
0 wei
Function
fallback()
Arguments
{}
Calldata
#2fallback()chain 0x1
Target
0x89b6…0272
Value
0 wei
Function
fallback()
Arguments
{}
Calldata

05Tally

Summed from votes

Voters0
VP participating0
Outcome (current)—
Current support—

06Voters

0 total

No votes recorded yet.

07Forum

No forum thread is confidently linked to this proposal.