[ARFC] Add gmBTC on Arbitrum V3

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Title: [ARFC] Add gmBTC on Arbitrum V3 Author: 0xlide - SaucyBlock Date: 2024-02-05

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Summary

This publication presents the community an opportunity to add gmBTC on the Arbitrum Aave v3 Liquidity Pool.

Motivation

GMX Protocol is the largest DEX offering derivatives and one of the most popular DeFi’s today. The introduction of several new features and integration with Chainlink Data Stream in GMX V2 has significantly reduced the risks of front-running and price manipulation compared to GMX V1. gmBTC is a BTC-USD's Liquidity Token on the GMX V2 and earn fees from leverage trading, borrowing fees and swaps.

Integrating gmBTC as collateral asset in the Aave V3 Arbitrum Pool has the potential to create new demand for borrowable assets on Aave V3.

Specification

Ticker: gmBTC Contract Adress: 0x47c031236e19d024b42f8AE6780E44A573170703 Chainlink Oracle: 0x395D5c5D552Df670dc4B2B1cef0c4EABfFba492f

The parameters shown below are supported by @Chaos Labs

Parameter	gmETH	gmBTC
Isolation Mode	No	No
Borrowable	No	No
Collateral Enabled	Yes	Yes
Supply Cap	3,500,000 gmETH	4,300,000 gmBTC
Borrow Cap	N/A	N/A
LTV	60%	55%
LT	65%	60%
Liquidation Bonus	12.00%	12.00%
Liquidation Protocol Fee	10.00%	10.00%
Reserve Factor	N/A	N/A
Variable Base	N/A	N/A
Variable Slope1	N/A	N/A
Variable Slope2	N/A	N/A
Uoptimal	N/A	N/A
Flashloanable	No	No
Siloed Borrowing	No	No
Borrowed in Isolation	No	No
Emode	No	No

Reference

Project GitHub Docs Audit Twitter Discord

Next Step

• If consensus on ARFC stage is reached and risk service providers provide feedback on risk parameters, escalate to ARFC snapshot stage.
• If ARFC snapshot stage outcome is YAE, escalate to AIP stage

Disclaimer

0xlide is not presenting this ARFC on behalf of any third party and is not compensated by any entity for creating this ARFC.

Copyright

Copyright and related rights waived via CC0.