KVORUM
compoundSource: Compound governor alpha · #39

ZRX, BAT, and WBTC Parameter Update

executedMar 5, 2021, 05:24 PM UTCby660x6626…c35c

01Summary

AISummary by Kvorumclaude-haiku-4-5

Update collateral factors for ZRX, BAT, and WBTC. Lower WBTC collateral factor from 75% to 65% to mitigate protocol risk (currently 99% of protocol risk and 8x worse than 2 weeks ago), while slightly raising ZRX and BAT collateral factors to improve capital efficiency for borrowers.

Type
parameter change

Key changes

  • WBTC collateral factor decreased from 75% to 65%(high)
  • ZRX collateral factor increased to 65%(low)
  • BAT collateral factor increased to 65%(low)

Notable concerns

  • WBTC risk accounts for 99% of protocol risk and is 8x worse than 2 weeks ago
  • Bundling of changes may increase decision complexity for voters
  • Further reduction of WBTC collateral factor to 60% may be proposed if this passes
Contracts0x3d9819210a31b4961b30ef54be2aed79b9c9cd3b0x6C8c6b02E7b2BE14d4fA6022Dfd6d75921D90E4E0xB3319f5D18Bc0D84dD1b4825Dcde5d5f7266d4070xC11b1268C1A384e55C48c2391d8d480264A3A7F4
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
Read the description ↗

02Description

180 words

ZRX, BAT, and WBTC Parameter Update

This change updates the collateral requirements for three collateral assets: ZRX, BAT, and WBTC

As mentioned on the forums, WBTC collateral poses a threat to the financial health of the Compound protocol. Currently, WBTC risk is 8 times worse than it was 2 weeks ago and now accounts for 99% of the risk in the protocol across all assets. We are moving to lower the collateral factor for WBTC from 75% to 65%. This will reduce (but not remove) the aforementioned risk, and we will re-evaluate if the proposal passes before proposing to lower it further to 0.6%. If liquidity and volatility for WBTC improve, we will be sure to take that into account.

We are also changing the collateral factors for both ZRX and BAT, raising those slightly to improve capital efficiency for borrowers. We realize that bundling these changes might make the decision more complex for voters. However, these additional changes are small and were largely unopposed in the last proposal that merely failed to reach quorum amidst high gas prices.

03Mismatch analysis

AIMismatch analysis by Kvorummedium confidenceclaude-sonnet-5
Consistent

The proposal describes three collateral-factor changes to the Compound Comptroller: lowering WBTC's collateral factor from 75% to 65%, and slightly raising ZRX's and BAT's collateral factors for capital efficiency. The calldata contains exactly three _setCollateralFactor calls to the same Comptroller contract, each setting the target market's collateral factor to 650000000000000000 (65% in 18-decimal fixed point). This matches the stated new WBTC value precisely. For ZRX and BAT, the description only gives a qualitative claim ('raising those slightly') without specific numbers, so the exact prior values cannot be verified from the data provided, but converging to 65% is consistent with a modest increase from typical prior levels (around 60%) and does not contradict the narrative of a small, capital-efficiency-focused adjustment. No target-address mismatches, no extra or omitted actions, and no numeric contradictions were found between the prose and the decoded actions. Because the exact prior collateral factors for ZRX/BAT aren't available to confirm the magnitude implied by 'slightly', confidence is medium rather than high, but there is no basis to flag a discrepancy under the conservative reporting standard.

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
#0_setCollateralFactor(address,uint256)chain 0x1
Target
0x3d98…cd3b
Value
0 wei
Function
_setCollateralFactor(address,uint256)
Arguments
{
  "0": "0x6C8c6b02E7b2BE14d4fA6022Dfd6d75921D90E4E",
  "1": "650000000000000000"
}
Calldata
#1_setCollateralFactor(address,uint256)chain 0x1
Target
0x3d98…cd3b
Value
0 wei
Function
_setCollateralFactor(address,uint256)
Arguments
{
  "0": "0xB3319f5D18Bc0D84dD1b4825Dcde5d5f7266d407",
  "1": "650000000000000000"
}
Calldata
#2_setCollateralFactor(address,uint256)chain 0x1
Target
0x3d98…cd3b
Value
0 wei
Function
_setCollateralFactor(address,uint256)
Arguments
{
  "0": "0xC11b1268C1A384e55C48c2391d8d480264A3A7F4",
  "1": "650000000000000000"
}
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.