Aave V2 Interest Rate Curve Changes (4/21)

Summary

A proposal to make parameter changes on the Ethereum, Polygon, and Avalanche Aave V2 markets.

For more details, see the full forum post here.

Motivation

Given the significant shifts in crypto markets, Gauntlet’s platform has evaluated all assets on Aave V2's Ethereum, Polygon, and Avalanche markets and has identified opportunities to adjust parameters for certain assets for the benefit of the protocol. Last November, we proposed interest rate curve changes for the Aave V2 Ethereum market using our interest rate curve optimization framework. Our methodology makes data-informed decisions around setting borrower and supplier interest rates when market conditions require the protocol to reduce risk or when strategic opportunities present themselves to increase protocol revenue without materially impacting risk. This analysis further finetunes the interest rate curves of Aave V2 Ethereum, and extends our methodology to Polygon and Avalanche.

Specification

Aave V2 Ethereum

Aave V2 Avalanche

Aave V2 Polygon

Implementation

This proposal implements the above changes on Aave V2 Ethereum and Polygon via the following pre-deployed payloads:

• Ethereum: 0x24bdacf6bbebaf567123da16cdb79a266597e92b
• Polygon: 0xf22c8255ea615b3da6ca5cf5aecc8956bff07aa8

Aave V2 Avalanche changes will be implemented using a separate steward, deployed here: 0xe1dd796dbeb5a67ce37cbc52dcd164d0535c901e

Copyright

Copyright and related rights waived via CC0.

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