[BIP-10] Updating Pledge Ratio

The aim of this proposal is to reduce the oBTC Tunnel Pledge Ratio from 125% to 115%.

As the needs for BTC-pegged tokens keeps increasing, oBTC has become one of the largest BTC-pegged tokens in the DeFi world. oBTC Tunnel has reached its capacity multiple times in the recent days.

oBTC maximum minting capacity is now limited by the pledge ratio (125%) hence, it is essential to lower the pledge ratio so that there are enough oBTC in the circulation to help people to increase their utilisation rate of their assets.

BoringDAO has been operating for nine months, our triple-layer protection has done a wonderful job on protecting our users’ and pledgers’ assets. There is not a single black swarm event happened in the past nine months and we are able to make sure that there will not be one in the upcoming days.

Option:

Option A: Decreasing pledge ratio from 125% to 115%

More oBTC are available for users to mobilise their BTC and participate in DeFi activities. Pledge providers will receive more minting fee and burning fee in form of oBTC as rewards.

For every oBTC, there will be 1 BTC and a group of backed assets that are worth of 15% of BTC behind it. The backed assets will be the compensating plan for users if there is a black swarm event occurs (highly unlikely).

Option B: Pledge ratio stays the same.

There are not enough oBTC in the circulation to help people to engage in the DeFi activities. Pledge providers will receive less oBTC rewards from oBTC Tunnel.