[Gauntlet] - wstETH v3 USDC Supply Cap (2024-09-20)
01Summary
Gauntlet recommends increasing the wstETH supply cap on USDC Mainnet Comet from 25,000 to 40,000 to improve capital efficiency. This proposal executes two on-chain actions: updating the supply cap parameter and deploying an upgrade to the Comet contract.
- Type
- parameter change
Key changes
- Increase wstETH supply cap on USDC Mainnet Comet from 25,000 to 40,000 (60% increase)(high)
- Deploy and upgrade Comet contract to apply the new supply cap configuration(medium)
Generated by Kvorum
02Description
[Gauntlet] - wstETH v3 USDC Supply Cap (2024-09-20)
Summary
Gauntlet recommends the following risk recommendations to the protocol:
- Increase USDC Mainnet Comet’s wstETH Supply Cap from 25,000 to 40,000
Motivation
This recommendation aims to increase supply caps for wstETH on USDC Mainnet Comet. Gauntlet recommends to increase supply caps to increase capital efficiency within the Comets.
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
The description states a single risk parameter change: increasing the wstETH supply cap on USDC Mainnet Comet from 25,000 to 40,000. Action 0 directly implements this via updateAssetSupplyCap targeting the USDC Comet address and wstETH asset address, with the new cap value of 40000 * 10^18, matching the stated 40,000 figure exactly (18 decimals for an 18-decimal token cap is standard, not a mismatch). Action 1 (deployAndUpgradeTo) is the standard Compound Comet Configurator pattern used to push queued configuration changes to the live Comet proxy — this is routine boilerplate for any Comet parameter update via governance and is reasonably omitted from a summary description, consistent with typical Compound risk-parameter proposals. No target mismatches, no value mismatches, and no omitted or extra significant actions were found. Confidence is high because both the description and calldata are specific and directly comparable (contract, asset, and numeric values all align).
Generated by Kvorum
04Actions
- Target
- 0x316f…36e3
- Value
- 0 wei
- Function
- updateAssetSupplyCap(address,address,uint128)
- Arguments
{ "0": "0xc3d688B66703497DAA19211EEdff47f25384cdc3", "1": "0x7f39C581F595B53c5cb19bD0b3f8dA6c935E2Ca0", "2": "40000000000000000000000" }- 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 | 90.1K | 10.48% | — | 2y ago |
| 220x2210…d02e | For | 83.5K | 9.71% | — | 2y ago |
| B90xb933…8dd1 | For | 80K | 9.31% | — | 2y ago |
| 130x13bd…8548 | For | 80K | 9.30% | — | 2y ago |
| 070x0703…961b | For | 80K | 9.30% | — | 2y ago |
| 660x66cd…65f9 | For | 80K | 9.30% | — | 2y ago |
| 3F0x3fb1…4c8a | For | 80K | 9.30% | — | 2y ago |
| B40xb49f…7948 | For | 80K | 9.30% | — | 2y ago |
| B30xb356…c826 | For | 54.7K | 6.36% | — | 2y ago |
| 7A0x7ae1…e585 | For | 50K | 5.82% | — | 2y ago |
| 4F0x4f89…fd3c | For | 50K | 5.82% | — | 2y ago |
| 7B0x7b3c…cc33 | For | 50K | 5.82% | — | 2y ago |
| 720x72c5…7708 | For | 1.2K | 0.14% | — | 2y ago |
| BE0xbe1d…c953 | For | 231 | 0.03% | — | 2y ago |
| E20xe2a6…325d | For | 100 | 0.01% | — | 2y ago |
| 210x21b3…fa75 | For | 2 | 0.00% | — | 2y ago |
| B70xb792…89d7 | For | 2 | 0.00% | — | 2y ago |
| 170x1729…b879 | For | 1 | 0.00% | — | 2y ago |
| D20xd2a7…5a0c | For | 1 | 0.00% | — | 2y ago |
| 1E0x1e65…a776 | For | 0.1 | 0.00% | — | 2y ago |
| FB0xfb2a…00ab | For | 0.1 | 0.00% | — | 2y ago |
| 560x5695…c581 | For | 0.1 | 0.00% | — | 2y ago |
07Forum
- [Gauntlet] - wstETH v3 USDC Supply Cap (2024-09-20) ↗discourse · high confidence
Arguments for
- Increasing the wstETH supply cap from 25,000 to 40,000 is supported by strong liquidity conditions and healthy collateralization ratios among large suppliers.— Gauntlet
- Current DEX liquidity provides sufficient depth relative to liquidation incentives, with slippage at ~4% well below the 8% liquidation penalty.— Gauntlet
- The top 10 suppliers maintain healthy collateralization ratios with the lowest position showing a factor of at least 2, indicating strong protocol risk management.— Gauntlet
Arguments against
None surfaced.
Notable participants
- GauntletRisk management firm proposing the wstETH supply cap increase with supporting liquidity and collateralization analysis.
Generated by Kvorum
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