KVORUM
compoundSource: Compound governor oz · #578

Ethereum Supply cap Reduction Across USD Based Comets

executedMay 6, 2026, 03:52 PM UTCbyD20xd2a7…5a0c

01Summary

AISummary by Kvorumclaude-haiku-4-5

This proposal adjusts supply caps for multiple assets (weETH, mETH, tBTC, sFRAX, UNI, LINK) across three USD-based Comet markets (cUSDTv3, cUSDSv3, cUSDCv3) on Ethereum, with some assets being reduced to zero and others adjusted based on utilization and risk parameters. The changes are implemented through Comet contract upgrades.

Type
parameter change

Key changes

  • weETH supply cap reduced to 0 on cUSDTv3 and cUSDSv3 markets(high)
  • mETH supply cap reduced to 0 on cUSDTv3 market(high)
  • tBTC supply cap set to 73 on cUSDTv3, 0 on cUSDSv3, and 40 on cUSDCv3(high)
  • sFRAX supply cap set to 33M on cUSDTv3(medium)
  • UNI supply cap set to 310,336 on cUSDTv3 and 364,691 on cUSDCv3(medium)
  • LINK supply cap set to 210,317 on cUSDTv3 and 585,990 on cUSDCv3(medium)
  • Comet implementation upgrades deployed across all three markets to apply supply cap changes(high)

Notable concerns

  • Complete removal of weETH and mETH supply caps on certain markets may indicate risk mitigation
  • Supply cap reductions suggest tightened risk parameters for affected assets
Contracts0x3Afdc9BCA9213A35503b077a6072F3D0d5AB08400x5D409e56D886231aDAf00c8775665AD0f9897b560xc3d688B66703497DAA19211EEdff47f25384cdc30x316f9708bb98af7da9c68c1c3b5e79039cd336e30x1ec63b5883c3481134fd50d5daebc83ecd2e8779
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
Read the description ↗

02Description

155 words

Ethereum Supply cap Reduction Across USD Based Comets

Proposal summary

This proposal updates supply caps for a number of assets across the USD based Mainnet markets. The supply caps for the affected assets are being updated based on their current utilization and risk parameters.

Further detailed information can be found on the corresponding proposal pull request and forum discussion.

Proposal actions

1 - 7. Updates supply caps for weETH and mETH to 0 and tBTC to 73, sFRAX to 33M, UNI to 310,336, and LINK to 210,317 on cUSDTv3 market and upgrades the Comet implementation to apply the changes.

8 - 10. Updates supply caps for weETH and tBTC to 0 on cUSDSv3 market and upgrades the Comet implementation to apply the changes.

11 - 14. Updates supply caps for tBTC to 40, UNI to 364,691, and LINK to 585,990 on cUSDCv3 market and upgrades the Comet implementation to apply the changes.

03Mismatch analysis

AIMismatch analysis by Kvorumclaude-sonnet-5
Consistent

I matched each of the 14 decoded actions to the corresponding claim in the description grouped by market (cUSDTv3 actions 0-6, cUSDSv3 actions 7-9, cUSDCv3 actions 10-13). Asset addresses were verified against known token addresses (weETH, mETH, tBTC, sFRAX, UNI, LINK) and each newSupplyCap value, after converting from 18-decimal fixed point, exactly matches the numeric value stated in the description (0, 73, 33,000,000, 310,336, 210,317 for cUSDTv3; 0, 0 for cUSDSv3; 40, 364,691, 585,990 for cUSDCv3). Each comet proxy address used in the calldata corresponds to the correct market instance referenced (cUSDTv3, cUSDSv3, cUSDCv3), and the deployAndUpgradeTo calls at the end of each group correctly target the matching Comet proxy, consistent with the description's claim that the Comet implementation is upgraded to apply the changes. No values, targets, or omitted/extra actions were found that diverge from the prose. The proposal accurately and completely represents the on-chain actions it will execute.

Generated by Kvorum
model: claude-sonnet-5
provider: anthropic
profile: anthropic-strong-v1
prompt: v1.0
generated: 2mo ago
Review the decoded actions ↗

04Actions

14 total
#0updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0xCd5fE23C85820F7B72D0926FC9b05b43E359b7ee",
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "newSupplyCap": "0"
}
Calldata
#1updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0xd5F7838F5C461fefF7FE49ea5ebaF7728bB0ADfa",
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "newSupplyCap": "0"
}
Calldata
#2updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x18084fbA666a33d37592fA2633fD49a74DD93a88",
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "newSupplyCap": "73000000000000000000"
}
Calldata
#3updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0xA663B02CF0a4b149d2aD41910CB81e23e1c41c32",
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "newSupplyCap": "33000000000000000000000000"
}
Calldata
#4updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x1f9840a85d5aF5bf1D1762F925BDADdC4201F984",
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "newSupplyCap": "310336000000000000000000"
}
Calldata
#5updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x514910771AF9Ca656af840dff83E8264EcF986CA",
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "newSupplyCap": "210317000000000000000000"
}
Calldata
#6deployAndUpgradeTo(address,address)chain 0x1
Target
0x1ec6…8779
Value
0 wei
Function
deployAndUpgradeTo(address,address)
Arguments
{
  "cometProxy": "0x3Afdc9BCA9213A35503b077a6072F3D0d5AB0840",
  "configuratorProxy": "0x316f9708bB98af7dA9c68C1C3b5e79039cD336E3"
}
Calldata
#7updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0xCd5fE23C85820F7B72D0926FC9b05b43E359b7ee",
  "cometProxy": "0x5D409e56D886231aDAf00c8775665AD0f9897b56",
  "newSupplyCap": "0"
}
Calldata
#8updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x18084fbA666a33d37592fA2633fD49a74DD93a88",
  "cometProxy": "0x5D409e56D886231aDAf00c8775665AD0f9897b56",
  "newSupplyCap": "0"
}
Calldata
#9deployAndUpgradeTo(address,address)chain 0x1
Target
0x1ec6…8779
Value
0 wei
Function
deployAndUpgradeTo(address,address)
Arguments
{
  "cometProxy": "0x5D409e56D886231aDAf00c8775665AD0f9897b56",
  "configuratorProxy": "0x316f9708bB98af7dA9c68C1C3b5e79039cD336E3"
}
Calldata
#10updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x18084fbA666a33d37592fA2633fD49a74DD93a88",
  "cometProxy": "0xc3d688B66703497DAA19211EEdff47f25384cdc3",
  "newSupplyCap": "40000000000000000000"
}
Calldata
#11updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x1f9840a85d5aF5bf1D1762F925BDADdC4201F984",
  "cometProxy": "0xc3d688B66703497DAA19211EEdff47f25384cdc3",
  "newSupplyCap": "364691000000000000000000"
}
Calldata
#12updateAssetSupplyCap(address,address,uint128)chain 0x1
Target
0x316f…36e3
Value
0 wei
Function
updateAssetSupplyCap(address,address,uint128)
Arguments
{
  "asset": "0x514910771AF9Ca656af840dff83E8264EcF986CA",
  "cometProxy": "0xc3d688B66703497DAA19211EEdff47f25384cdc3",
  "newSupplyCap": "585990000000000000000000"
}
Calldata
#13deployAndUpgradeTo(address,address)chain 0x1
Target
0x1ec6…8779
Value
0 wei
Function
deployAndUpgradeTo(address,address)
Arguments
{
  "cometProxy": "0xc3d688B66703497DAA19211EEdff47f25384cdc3",
  "configuratorProxy": "0x316f9708bB98af7dA9c68C1C3b5e79039cD336E3"
}
Calldata

05Tally

Summed from votes

Voters21
VP participating834.9K
Outcome (current)For
Current support100%

06Voters

21 total

No votes recorded yet.

07Forum

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

Arguments for

  • Supply caps should be tightened to a buffer above current demand because excess headroom creates uncompensated downside risk if an asset suffers an exploit or depeg event.— Gauntlet
  • The frequency and sophistication of attacks on long-tail collaterals (LSTs, LRTs, wrapped assets) have risen sharply, making a defensive risk-off posture prudent.— Gauntlet
  • Dormant assets with negligible utilization (under 1%) should have caps set to zero since they carry idiosyncratic risk without corresponding organic demand.— Gauntlet
  • Existing users will not be displaced because all Rule 2 caps are set above current supply balances, preserving room to top up collateral during volatility.— Gauntlet
  • The proposal's uniform methodology applied consistently across all collaterals in scope provides a clear, defensible framework for cap-setting.— Gauntlet

Arguments against

None surfaced.

Unresolved concerns

  • Standard Compound governance may be too slow to reopen caps when dormant assets experience sudden demand surges, as evidenced by the 9-month timeline for the superOETH/stablecoin proposal.— pete
  • It is unclear whether a faster onboarding track should be created for assets that have already passed governance technical reviews by WOOF and OpenZeppelin rather than requiring a full restart of the governance process.— pete

Notable participants

  • GauntletProposer who recommended the supply cap reduction strategy based on risk analysis and provided detailed methodology and tables for all affected assets across six Ethereum Comets.
  • peteCommunity participant who raised concerns about governance speed for reopening caps and suggested a faster onboarding track for previously-approved assets.
Generated by Kvorum
model: claude-haiku-4-5
provider: anthropic
profile: anthropic-fast-v1
prompt: v1.0
generated: 2mo ago
Open the thread ↗