[BIP-25] Increase bSTBL collateral factor to 90% for Bao Markets

Summary

Increase bSTBL collateral factor to 90% to increase capital efficiency of baoUSD

Background

bSTBL is stable and reliable collateral but its collateral factor for minting baoUSD is 75%. The risk is minimal for large price movements due to the underlying assets being chosen for their stability and safety by the community. The collateral factor could be set to 90%, which leaves a 10% margin for liquidators to collect as a liquidation fee.

Goals

• Increase the usage of bSTBL as collateral for baoUSD
• increase baoUSD capital efficiency

Proposed Solution

Use the setcollateralfactor function on the Bao Markets controller for bdbSTBL (0xE0a55c00E6510F4F7df9af78b116B7f8E705cA8F, bao deposited bSTBL) to 90%

Risks

increasing the collateral factor from 75% to 90% increases the risk of bad debt from an underlying asset losing its peg