DIP023 – Risk Parameter Update for Stablecoins

Summary:

A proposal to adjust the LTV (Loan-To-Value) Ratio for USDC, USDT, BUSD, DAI, USX across Ethereum, Arbitrum, Optimism, BSC, as well as future deployment on other blockchains or layers.

Abstract

This proposal represents a batch update of risk parameters that aligns with the dForce Risk Management Methodology.

Motivation:

dForce performs recurring checks on supported assets to manage risk for our protocol and improve capital efficiency to the greatest extent.

Proposal:

We recommend the following set of parameter changes on a number of stablecoins:

Assets	Current LTV	Recommended LTV
USDC	80%	85%
USDT	80%	85%
BUSD	80%	85%
DAI	80%	85%
USX	80%	85%