KVORUM
aaveSource: Aave governor v2 · #285

TUSD offboarding plan

executedAug 5, 2023, 05:29 AM UTCby320x329c…3ed4

01Summary

AISummary by Kvorumclaude-haiku-4-5

This proposal initiates the offboarding of TUSD from Aave V2 Ethereum by implementing parameter changes designed to discourage new borrowing and supply while incentivizing migration to other stablecoins. Key changes include setting LTV to 0%, disabling borrowing, raising the reserve factor to 95%, and significantly increasing interest rate slopes to make TUSD less attractive.

Type
parameter change

Key changes

  • LTV reduced from 75% to 0%, preventing TUSD from being used as collateral(high)
  • Borrowing and stable borrowing disabled, preventing new TUSD borrows(high)
  • Liquidation Threshold reduced from 77.5% to 75%, tightening liquidation parameters(high)
  • Liquidation Bonus increased from 5% to 10%, providing more incentive for liquidators(medium)
  • Reserve Factor increased from 25% to 95%, capturing most protocol revenue from TUSD(medium)
  • Base Rate increased to 3% and Slope1/Slope2 increased to 7%/200% respectively, making TUSD borrowing much more expensive(high)
  • UOptimal reduced from 80% to 20%, adjusting the optimal utilization ratio downward(medium)

Notable concerns

  • Current TUSD supply of 13.1M and borrow of 6.8M will need to migrate to other assets
  • These changes follow a similar strategy to the BUSD offboarding plan
  • Previous freeze and liquidation threshold reduction have already reduced TUSD positions significantly
ContractsTUSD (Aave V2 Ethereum)
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
Read the description ↗

02Description

244 words

Simple Summary

This proposal aims to initiate the offboarding process for TUSD from the Aave V2 Ethereum pool. The process will follow a similar process as the BUSD offboarding plan part I.

Motivation

TUSD has been a historic asset of the Aave ecosystem, but due to recent events, the ACI suggests consideration of its offboarding. The offboarding plan leverages the previous success of the BUSD offboarding plan and will incentive current users to slowly migrate their positions to other stablecoins on Aave.

Previous proposals have frozen TUSD and lowered TUSD LT to 77.5%. These proposals have reduced TUSD borrow and supply over the past 30 days, from 20M supplied and 18M borrowed, to 13.1M supplied and 6.8M borrowed today.

Specification

The following table outlines the proposed changes to the TUSD risk parameters:

ParameterCurrent ValueProposed Value
LTV75%0%
Liquidation Threshold77.5%75%
Liquidation Bonus5%10%
Reserve Factor25%95%
Borrowing EnabledYesNo
Stable Borrowing EnabledYesNo
Base Rate0%3%
Slope14%7%
Slope2100%200%
UOptimal80%20%

References

Copyright

Copyright and related rights waived via CC0.

03Mismatch analysis

AIMismatch analysis by Kvorumlow confidenceclaude-sonnet-5
Consistent

The proposal follows the standard Aave governance pattern where the on-chain action is a single delegatecall-style execute() invocation on a deployed payload contract (as referenced by the linked Solidity implementation). The decoded calldata contains no arguments or sub-calls, so it is impossible to directly verify from the calldata alone whether the specific numeric changes described (LTV 75%->0%, LT 77.5%->75%, liquidation bonus 5%->10%, reserve factor 25%->95%, borrowing/stable borrowing disabled, and interest rate curve changes) are actually implemented inside the payload contract. This is typical and expected for Aave proposals reviewed via governance forums, where the actual parameter changes live in the linked contract code rather than in top-level calldata. Since there is no contradicting evidence and this pattern is standard/expected for this proposal type, I did not flag a discrepancy, but confidence is low because the calldata itself provides no verifiable detail to cross-check against the detailed prose specification table.

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

04Actions

1 total
#0fallback()chain 0x1
Target
0xd44a…72ac
Value
0 wei
Function
fallback()
Arguments
{}
Calldata

05Tally

Summed from votes

Voters0
VP participating0
Outcome (current)—
Current support—

06Voters

0 total
Filter:
VoterChoice% of totalRationale
320x329c…3ed4For234.6K0.00%—3y ago
620x62a4…816aFor82.9K0.00%—3y ago
B80xb83b…cf5cFor80.4K0.00%—3y ago
130x13bd…8548For80.4K0.00%—3y ago
B90xb933…8dd1For44.1K0.00%—3y ago
E40xe459…e666For20K0.00%—3y ago
EA0xea17…6676For15.4K0.00%—3y ago
180x1855…98baFor3K0.00%—3y ago
2C0x2cc1…4df1For343.40.00%—3y ago
DF0xdf06…4977For27.30.00%—3y ago
870x8716…f156Against50.00%—3y ago
340x3486…e8deFor1.50.00%—3y ago
850x851c…9fd8For1.50.00%—3y ago
4E0x4e83…826dFor0.80.00%—3y ago
B90xb9f1…36d4For0.50.00%—3y ago
530x5352…793fFor0.20.00%—3y ago
260x26fd…d4e8For00.00%—3y ago
Showing 17

07Forum

No forum thread is confidently linked to this proposal.