Summary

Gauntlet recommends updating the interest rate curves as well as COMP rewards for WETH Comets.

For Ethereum, Arbitrum and Optimism:

Parameter	Current Value	Recommended Value
Annual Borrow Interest Rate Base	0.01	0.01
Annual Borrow Interest Rate Slope Low	0.014	0.0145
Borrow Kink	0.85	0.9
Annual Borrow Interest Rate Slope High	1.15	1.5
Annual Supply Interest Rate Base	0	0
Annual Supply Interest Rate Slope Low	0.0185	0.0165
Supply Kink	0.85	0.9
Annual Supply Interest Rate Slope High	1	1.2

For Base:

Parameter	Current Value	Recommended Value
Annual Borrow Interest Rate Base	0.006	0.01
Annual Borrow Interest Rate Slope Low	0.0125	0.0145
Borrow Kink	0.85	0.9
Annual Borrow Interest Rate Slope High	0.9	1.5
Annual Supply Interest Rate Base	0	0
Annual Supply Interest Rate Slope Low	0.0115	0.0165
Supply Kink	0.85	0.9
Annual Supply Interest Rate Slope High	0.8	1.2

This recommendation only includes the following Comets

• Ethereum WETH
• Arbitrum WETH
• Optimism WETH
• Base WETH

Motivation

Gauntlet recommends updating the interest rate curve parameters across all WETH comets to incentivize further growth and higher utilization. See the the full proposal and forum discussion for more details.

Specification

The proposal updates the parameters by using the respective methods on the Configurator. 

By approving this proposal, you agree that any services provided by Gauntlet shall be governed by the terms of service available at gauntlet.network/tos.

https://compound.finance/governance/proposals/340