Increase WETH Supply Cap in cUSDCv3
01Summary
Proposal to double the WETH supply cap in cUSDCv3 from 75,000 to 150,000 units due to the cap being reached while collateral prices have decreased and usage has grown. Includes deployment of a new Comet implementation with updated parameters.
- Type
- parameter change
Key changes
- WETH supply cap in cUSDCv3 increased from 75,000 to 150,000(high)
- New Comet implementation deployed and upgraded with updated parameters(high)
Notable concerns
- Current WETH supply cap has been reached, limiting market functionality
- Collateral asset prices have decreased since original caps were set, reducing effective capacity
Generated by Kvorum
02Description
Increase WETH Supply Cap in cUSDCv3
Explanation
The cUSDCv3 market is currently limited by the WETH supply cap, which has been reached. Since setting these caps (in units of each collateral asset), prices of collateral assets have decreased, effectively lowering the current caps, while usage has grown.
The associated forum post for this proposal can be found here.
Proposal
The proposal itself is to be made from this pull request.
The first action of the proposal sets the configurator supply cap for WETH to 150,000, twice the current cap of 75,000.
The second action deploys and upgrades to a new implementation of Comet, using the newly configured parameters.
03Mismatch analysis
I compared the two decoded actions against the two claims in the proposal description. Action 0 calls updateAssetSupplyCap with a value of 150000000000000000000000 (150,000 * 10^18, since WETH has 18 decimals), which exactly matches the description's claim of raising the WETH supply cap to 150,000 (double the stated current cap of 75,000). Action 1 calls deployAndUpgradeTo with the Configurator and Comet addresses, matching the description's second action of deploying and upgrading to a new Comet implementation with the updated parameters. The target addresses are consistent between the two actions (the Comet address appears as the asset argument in action 0's configurator context and as the proxy to upgrade in action 1). No extra, missing, or mismatched values were found. The description accurately and completely reflects the on-chain actions with no material omissions or misleading phrasing.
Generated by Kvorum
04Actions
- Target
- 0x316f…36e3
- Value
- 0 wei
- Function
- updateAssetSupplyCap(address,address,uint128)
- Arguments
{ "0": "0xc3d688B66703497DAA19211EEdff47f25384cdc3", "1": "0xC02aaA39b223FE8D0A0e5C4F27eAD9083C756Cc2", "2": "150000000000000000000000" }- Calldata
- Target
- 0x1ec6…8779
- Value
- 0 wei
- Function
- deployAndUpgradeTo(address,address)
- Arguments
{ "0": "0x316f9708bB98af7dA9c68C1C3b5e79039cD336E3", "1": "0xc3d688B66703497DAA19211EEdff47f25384cdc3" }- Calldata
05Tally
Summed from votes
06Voters
| Voter | Choice | % of total | Rationale | ||
|---|---|---|---|---|---|
| 680x683a…6c02 | For | 126.1K | 22.61% | — | 4y ago |
| 880x88fb…3981 | Abstain | 70.1K | 12.57% | — | 4y ago |
| 540x54a3…e189 | For | 57.6K | 10.33% | — | 4y ago |
| 470x47c1…4770 | For | 50K | 8.97% | — | 4y ago |
| B40xb49f…7948 | For | 50K | 8.97% | — | 4y ago |
| 070x0703…961b | For | 50K | 8.97% | — | 4y ago |
| 130x13bd…8548 | For | 50K | 8.97% | — | 4y ago |
| DC0xdc1f…e432 | For | 50K | 8.97% | — | 4y ago |
| 2B0x2b38…bf33 | For | 32.5K | 5.83% | — | 4y ago |
| DAdakeshi.eth0xe3c9…6b21 | For | 21.3K | 3.82% | — | 4y ago |
| 660x66cd…65f9 | For | 23.3 | 0.00% | — | 4y ago |
| 840x84e3…5a95 | For | 22.6 | 0.00% | — | 4y ago |
| BF0xbf4c…5a7c | For | 3.1 | 0.00% | — | 4y ago |
| 170x175c…e397 | For | 1.6 | 0.00% | — | 4y ago |
| FC0xfcd0…3714 | For | 1.3 | 0.00% | — | 4y ago |
| 760x767a…39b6 | For | 1.2 | 0.00% | — | 4y ago |
| 7E0x7e52…9706 | For | 1.1 | 0.00% | — | 4y ago |
| B10xb16c…f4cd | For | 1 | 0.00% | — | 4y ago |
| 290x2943…a4e1 | For | 1 | 0.00% | — | 4y ago |
| 120x12ba…74b5 | For | 1 | 0.00% | — | 4y ago |
| 330x33f6…1da4 | For | 1 | 0.00% | — | 4y ago |
| 360x360b…8cb7 | For | 0.9 | 0.00% | — | 4y ago |
| 070x078d…ca2c | For | 0.9 | 0.00% | — | 4y ago |
| 450x4534…8d93 | For | 0.9 | 0.00% | — | 4y ago |
| 3D0x3d85…27b2 | For | 0.8 | 0.00% | — | 4y ago |
| CB0xcbe7…fe98 | For | 0.7 | 0.00% | — | 4y ago |
| 2C0x2cd3…5133 | For | 0.7 | 0.00% | — | 4y ago |
| D50xd5d0…629f | For | 0.7 | 0.00% | — | 4y ago |
| 4C0x4c53…3b37 | For | 0.6 | 0.00% | — | 4y ago |
| 380x382c…be0c | For | 0.5 | 0.00% | — | 4y ago |
| C20xc205…9274 | For | 0.5 | 0.00% | — | 4y ago |
| D20xd260…b1b6 | For | 0.5 | 0.00% | — | 4y ago |
| F40xf4dc…4a74 | For | 0.5 | 0.00% | — | 4y ago |
| 1B0x1b4e…79cf | For | 0.5 | 0.00% | — | 4y ago |
| 900x908e…b08f | For | 0.5 | 0.00% | — | 4y ago |
| 860x86e4…fd3e | For | 0.4 | 0.00% | — | 4y ago |
| 070x078a…2bd8 | For | 0.3 | 0.00% | — | 4y ago |
| 5A0x5abf…d2e7 | For | 0.3 | 0.00% | — | 4y ago |
| 8F0x8f2a…5272 | For | 0.3 | 0.00% | — | 4y ago |
| 890x8960…3a8c | For | 0.3 | 0.00% | — | 4y ago |
| 0D0x0d3b…d1bc | For | 0.2 | 0.00% | — | 4y ago |
| C60xc6e0…a35d | For | 0.2 | 0.00% | — | 4y ago |
| 8C0x8c15…fbca | For | 0.2 | 0.00% | — | 4y ago |
| A80xa8ea…3bcb | For | 0.2 | 0.00% | — | 4y ago |
| 710x7121…4461 | For | 0.2 | 0.00% | — | 4y ago |
| 530x5321…38fb | For | 0.2 | 0.00% | — | 4y ago |
| 7D0x7d31…c928 | For | 0.2 | 0.00% | — | 4y ago |
| EC0xec60…5c2d | For | 0.2 | 0.00% | — | 4y ago |
| 290x29ee…d7d0 | For | 0.2 | 0.00% | — | 4y ago |
| 120x12c8…5886 | For | 0.2 | 0.00% | — | 4y ago |
07Forum
- Increase ETH Supply Cap in USDC Comet Market ↗discourse · high confidence
Arguments for
- ETH remains highly liquid despite broader market conditions, with market depth generally staying above $300M, justifying a higher supply cap.— pauljlei
- ETH supply on the Comet USDC market is close to its current cap, so doubling the cap allows for organic market growth.— pauljlei
- The proposal has already been discussed on the community call and in Discord and enjoys widespread community support.— rleshner
- General expression of support for the proposal as presented.— VonNeumann2022
Arguments against
None surfaced.
Unresolved concerns
- Whether Compound governance can react quickly enough to revert the supply cap increase if ETH liquidity suddenly deteriorates.— VonNeumann2022
- Whether Compound should adopt a Risk Council (similar to one proposed by Aave) to handle rapid risk-parameter changes.— VonNeumann2022
- The suggestion to create a streamlined CIP or process for handling these routine mechanical parameter adjustments was raised but not developed further.— rleshner
Notable participants
- pauljleiProposer from Gauntlet who authored and justified the supply cap increase proposal.
- rleshnerCompound Labs founder who confirmed community support and suggested a future streamlined process for such adjustments.
- VonNeumann2022Community member who supported the proposal but raised a risk-management concern about reversibility and suggested a Risk Council model.
Generated by Kvorum
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