KVORUM
compoundSource: Compound governor bravo · #310

[Gauntlet] - Arbitrum USDT Risk and IO Recommendations (2024-08-20)

executedAug 25, 2024, 12:02 PM UTCby680x683a…6c02

01Summary

AISummary by Kvorumclaude-haiku-4-5

Gauntlet recommends parameter adjustments to Arbitrum USDT Comet to reduce negative reserve growth and improve USDT utilization, including changes to borrow/supply kinks, interest rate slopes, and reward rates.

Type
parameter change

Key changes

  • Reduce Borrow Kink from 0.9 to 0.85(medium)
  • Reduce Annual Borrow Interest Rate Slope High from 4.0 to 3.5(medium)
  • Reduce Annual Supply Interest Rate Slope Low from 0.052 to 0.03(high)
  • Reduce Supply Kink from 0.9 to 0.85(medium)
  • Reduce Annual Supply Interest Rate Slope High from 3.6 to 3.2(medium)
  • Increase Daily Borrow Rewards from 30 to 35(medium)
  • Reduce Daily Supply Rewards from 12 to 7(medium)

Notable concerns

  • Reduction in supply interest rates and daily supply rewards may impact incentive alignment during LTIPP program
Contracts0xd98be00b5d27fc98112bde293e487f8d4ca57d07
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
Read the description ↗

02Description

215 words

[Gauntlet] - Arbitrum USDT Risk and IO Recommendations (2024-08-20)

Summary

Gauntlet recommends the following parameter changes to Arbitrum USDT Comet:

ParametersCurrent ValueRecommended Values
Annual Borrow Interest Rate Base.015.015
Annual Borrow Interest Rate Slope Low.05.05
Borrow Kink.9.85
Annual Borrow Interest Rate Slope High4.03.5
Annual Supply Interest Rate Base00
Annual Supply Interest Rate Slope Low.052.03
Supply Kink.9.85
Annual Supply Interest Rate Slope High3.63.2
Daily Borrow Rewards3035
Daily Supply Rewards127

Motivation

This recommendation aims to mitigate further negative reserve growth while the LTIPP incentive program is active and improve utilization of USDT within the Comet. Full proposal and forum discussions can be found here.

Specification

The proposal updates the parameters by using the respective methods on the Configurator.

By approving this proposal, you agree that any services provided by Gauntlet shall be governed by the terms of service available at gauntlet.network/tos

03Mismatch analysis

AIMismatch analysis by Kvorum

A calldata-vs-description analysis is not generated yet. Review the decoded actions →

04Actions

1 total
#0createRetryableTicket(address,uint256,uint256,address,address,uint256,uint256,bytes)chain 0x1
Target
0x4dbd…ab3f
Value
6056364500000000 wei
Function
createRetryableTicket(address,uint256,uint256,address,address,uint256,uint256,bytes)
Arguments
{
  "0": "0x42480C37B249e33aABaf4c22B20235656bd38068",
  "1": "0",
  "2": "4350410000000000",
  "3": "0x3fB4d38ea7EC20D91917c09591490Eeda38Cf88A",
  "4": "0x3fB4d38ea7EC20D91917c09591490Eeda38Cf88A",
  "5": "3411909",
  "6": "500000000",
  "7": "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"
}
Calldata

05Tally

Summed from votes

Voters30
VP participating565.2K
Outcome (current)For
Current support100%

06Voters

30 total

No votes recorded yet.

07Forum

AIForum synthesis by Kvorumclaude-haiku-4-5
sentiment · mixedthread · constructive

Arguments for

  • Reallocating COMP rewards from supply to borrow side will incentivize borrowing and increase utilization rates, which are currently imbalanced due to LTIPP influx.— Gauntlet
  • Lowering the kink from 0.9 to 0.85 and adjusting interest rate curves will mitigate negative reserve growth while LTIPP incentives remain active.— Gauntlet
  • Reducing supply-side interest rates and reallocation will help rebalance the Arbitrum USDT market which is oversupplied.— Gauntlet

Arguments against

None surfaced.

Notable participants

  • GauntletProposer presenting risk and IO recommendations for Arbitrum USDT parameter adjustments.
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
Open the thread ↗