aaveSource: Aave governor v2 · #375

Increase Stablecoin Optimal Borrow Rates

executedNov 24, 2023, 10:50 AM UTCby320x329c…3ed4

01Summary

AISummary by Kvorumclaude-haiku-4-5

This proposal modifies stablecoin borrowing parameters across all Aave V2 and V3 pools on multiple chains. The primary change is setting slope1 (base borrow rate) to 5% for all stablecoins (USDC, USDT, LUSD, FRAX, sUSD, DAI, MAI, GUSD, USDP). Additionally, Uopt (optimal utilization) is set to 90% for USDC, USDT, DAI, and FRAX in V3 markets, and RF (reserve factor) is set to 25% for USDC, USDT, and LUSD in Ethereum V2. These changes aim to align Aave's stablecoin rates with broader market conditions and have been approved by both risk providers.

Type: parameter change

Key changes

Set slope1 (base borrow rate) to 5% for stablecoins across all V2 and V3 markets including USDC, USDT, LUSD, FRAX, sUSD, DAI, MAI, GUSD, USDP(high)
Set Uopt (optimal utilization) to 90% for USDC, USDT, DAI, and FRAX in V3 markets on Ethereum, Polygon, Avalanche, Optimism, Arbitrum, Base, and Metis(high)
Set RF (reserve factor) to 25% for USDC and USDT in Ethereum V2, and LUSD in Ethereum V2(medium)

Notable concerns

Changes applied across 10 different contract deployments and multiple blockchain networks, requiring coordinated execution

ContractsAaveV2EthereumAaveV2PolygonAaveV2AvalancheAaveV3EthereumAaveV3PolygonAaveV3AvalancheAaveV3OptimismAaveV3ArbitrumAaveV3BaseAaveV3Metis

Generated by Kvorum

model: claude-haiku-4-5

provider: anthropic

profile: anthropic-fast-v1

prompt: v1.0

generated: 2mo ago

Read the description ↗

02Description

755 words

Simple Summary

This AIP propose to modify the parameters of stablecoins across all the Aave pools. Mainly by setting the slope1 to 5%, as well as changing the RF to 25% and Uopt to 90% of some of them.

Motivation

According to research by @monet-supply, the borrowing parameters of the stablecoins on Aave have diverged from the broader market leading to potentials inefficiencies and bad user experience.

Those proposed changes have been approved by both risk providers, with additional suggestion by @Gauntlet.

Stablecoin across all the V2 and V3 markets are concerned by those change. Namely USDC, USDT, LUSD, FRAX, sUSD, DAI, MAI, GUSD, USDP on ethereum (V2 and V3), polygon (V2 and V2), Arbitrum, Gnosis, Optimism, Avalanche (v2 and V3) and Metis. However the changes of RF and Uopt would be more limited, with the Uopt changes being limited to USDC, USDT, DAI and FRAX across all V3s and the RF ones to USDC, USDT and LUSD only for Ethereum V2.

Specification

The following stablecoins would see changes to their parameters: (Blank means no changes)

Market	Asset	slope1	Uopt	RF
Ethv2	USDC	5%		25%
Ethv2	USDT	5%		25%
Ethv2	FRAX	5%
Ethv2	sUSD	5%
Ethv2	GUSD	5%
Ethv2	LUSD	5%		25%
Ethv2	USDP	5%
---	---	---	---	---
Ethv3	USDC	5%	90%
Ethv3	USDT	5%	90%
Ethv3	FRAX	5%	90%
Ethv3	LUSD	5%
---	---	---	---	---
AvaxV2	USDC	5%
AvaxV2	USDT	5%
AvaxV2	DAI	5%
---	---	---	---	---
AvaxV3	USDC	5%	90%
AvaxV3	USDT	5%	90%
AvaxV3	DAI	5%	90%
AvaxV3	MAI	5%
AvaxV3	FRAX	5%	90%
---	---	---	---	---
PolV2	USDC	5%
PolV2	USDT	5%
PolV2	DAI	5%
---	---	---	---	---
PolV3	USDC	5%	90%
PolV3	USDT	5%	90%
PolV3	DAI	5%	90%
PolV3	MAI	5%
---	---	---	---	---
OpV3	USDC	5%	90%
OpV3	USDT	5%	90%
OpV3	DAI	5%	90%
OpV3	sUSD	5%
OpV3	LUSD	5%
OpV3	MAI	5%
---	---	---	---	---
ArbV3	USDC	5%	90%
ArbV3	USDC.e	5%
ArbV3	USDT	5%	90%
ArbV3	DAI	5%	90%
ArbV3	LUSD	5%
ArbV3	FRAX	5%	90%
ArbV3	MAI	5%
---	---	---	---	---
BaseV3	USDC	5%	90%
---	---	---	---	---
MetisV3	USDC	5%	90%
MetisV3	USDT	5%	90%
---	---	---	---	---

References

Implementation: AaveV2Ethereum, AaveV2Polygon, AaveV2Avalanche, AaveV3Ethereum, AaveV3Polygon, AaveV3Avalanche, AaveV3Optimism, AaveV3Arbitrum, AaveV3Metis, AaveV3Base
Tests: AaveV2Ethereum, AaveV2Polygon, AaveV2Avalanche, AaveV3Ethereum, AaveV3Polygon, AaveV3Avalanche, AaveV3Optimism, AaveV3Arbitrum, AaveV3Metis, AaveV3Base
Snapshot: Slope1, Uopt & RF
Discussion

Copyright

03Mismatch analysis

AIMismatch analysis by Kvorummedium confidenceclaude-sonnet-5

Minor discrepancy

The proposal executes seven 'forwardPayloadForExecution' calls on Ethereum mainnet, each routing a pre-agreed payload to a specific chain (Ethereum, Polygon, Avalanche, Optimism, Arbitrum, Metis, Base) via chain-specific controller addresses. This matches the set of networks listed in the specification table (Ethv2/v3, PolV2/v3, AvaxV2/v3, OpV3, ArbV3, MetisV3, BaseV3). The one inconsistency found is that the motivation paragraph also names 'Gnosis' as an affected network, yet neither the specification table nor the calldata includes any Gnosis-related action — a minor wording error rather than a functional risk. Because the actual numeric parameter changes (slope1=5%, Uopt=90%, RF=25%) are encoded inside the referenced payload contracts and not directly visible in this top-level calldata, those specific values cannot be independently verified from the decoded actions alone; this limits confidence to medium rather than high, but does not itself constitute a discrepancy since the high-level chain routing is consistent with the described scope. Overall, the mismatch is minor and does not affect fund safety or control, so it is classified as a minor discrepancy suitable for delegate awareness rather than a blocking concern.

Discrepancies

lowextra in description
The motivation text lists Gnosis as one of the networks affected by the slope1/Uopt/RF changes, but the specification table contains no Gnosis rows and the decoded calldata forwards payloads only to Ethereum, Polygon, Avalanche, Optimism, Arbitrum, Metis and Base — no Gnosis (chain id 100) action exists.
“Namely USDC, USDT, LUSD, FRAX, sUSD, DAI, MAI, GUSD, USDP on ethereum (V2 and V3), polygon (V2 and V2), Arbitrum, Gnosis, Optimism, Avalanche (v2 and V3) and Metis.”

Generated by Kvorum

model: claude-sonnet-5

provider: anthropic

profile: anthropic-strong-v1

prompt: v1.0

generated: 2mo ago

Review the decoded actions ↗

04Actions

7 total

#0forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "1", "1", "0xdAbad81aF85554E9ae636395611C58F7eC1aAEc5", "20" ] }
Calldata

#1forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "137", "1", "0x401B5D0294E23637c18fcc38b1Bca814CDa2637C", "10" ] }
Calldata

#2forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "43114", "1", "0x1140CB7CAfAcC745771C2Ea31e7B5C653c5d0B80", "7" ] }
Calldata

#3forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "10", "1", "0x0E1a3Af1f9cC76A62eD31eDedca291E63632e7c4", "4" ] }
Calldata

#4forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "42161", "1", "0x89644CA1bB8064760312AE4F03ea41b05dA3637C", "4" ] }
Calldata

#5forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "1088", "1", "0x2233F8A66A728FBa6E1dC95570B25360D07D5524", "2" ] }
Calldata

#6forwardPayloadForExecution((uint256,uint8,address,uint40))chain 0x1

Target: 0x9aee…2bc7
Value: 0 wei
Function: forwardPayloadForExecution((uint256,uint8,address,uint40))
Arguments: { "0": [ "8453", "1", "0x2DC219E716793fb4b21548C0f009Ba3Af753ab01", "1" ] }
Calldata

05Tally

Summed from votes

Against0.0%0

For100.0%499K

Voters17

VP participating499K

Outcome (current)For

Current support100%

06Voters

17 total

Filter:

Voter	Choice		% of total	Rationale
320x329c…3ed4	For	116.1K	23.26%	—	3y ago
130x13bd…8548	For	61.3K	12.29%	—	3y ago
230x2331…7e73	For	60K	12.02%	—	3y ago
2C0x2cc1…4df1	For	43.7K	8.75%	—	3y ago
B90xb933…8dd1	For	42.4K	8.49%	—	3y ago
EA0xea17…6676	For	38.7K	7.77%	—	3y ago
EZezr3al.eth0x8659…7d0e	For	38.1K	7.64%	—	3y ago
570x57ab…2922	For	27.3K	5.47%	—	3y ago
7A0x7ae1…e585	For	26.7K	5.34%	—	3y ago
870x8787…ea52	For	21.1K	4.23%	—	3y ago
E40xe459…e666	For	20K	4.01%	—	3y ago
180x1855…98ba	For	3.6K	0.72%	—	3y ago
DF0xdf06…4977	For	27.3	0.01%	—	3y ago
570x5762…a752	For	1	0.00%	—	3y ago
EC0xeca0…a418	For	0.5	0.00%	—	3y ago
550x5587…e867	For	0.2	0.00%	—	3y ago
370x37d2…98bc	For	0.1	0.00%	—	3y ago

Showing 17

07Forum

No forum thread is confidently linked to this proposal.

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