[Gauntlet] - Risk Recommendations

Simple Summary

Gauntlet recommends the following risk recommendations to the protocol:

• Increase Mainnet V3 USDT Comet’s tBTC Supply Cap from 285 to 360
• Increase Mainnet V3 USDT Comet’s weETH Supply Cap from 18,000 to 25,000
• Increase Base V3 WETH Comet’s wrsETH Supply Cap from 700 to 1200
• Increase Base V3 AERO Comet’s cbBTC Supply Cap from 150 to 250
• Increase tBTC Collateral Factor from 76% to 80%
• Increase tBTC Liquidation Factor from 81% to 85%

Furthermore, the following changes to Liquidation Penalty, Collateral Factor and Liquidation Factor across WETH and wstETH in the following comets -

Liquidation Penalty

Comet	Asset	Parameter	Current Value	Recommended Value
V3 Ethereum USDC/USDT/USDS	WETH	Liquidation Penalty	5%	7%
V3 Arbitrum USDC/USDT/USDC.e	WETH	Liquidation Penalty	5%	7%
V3 Optimism USDC/USDT	WETH	Liquidation Penalty	5%	7%
V3 Polygon USDC/USDT	WETH	Liquidation Penalty	5%	7%
V3 Ethereum USDC/USDS	wstETH	Liquidation Penalty	8%	10%
V3 Ethereum USDT	wstETH	Liquidation Penalty	5%	10%

Liquidation Factor

Comet	Asset	Parameter	Current Value	Recommended Value
V3 Ethereum USDT/USDC/USDS	WETH	Liquidation Factor	90%	88%
V3 Arbitrum USDC/USDT	WETH	Liquidation Factor	90%	88%
V3 Arbitrum USDC.e	WETH	Liquidation Factor	85%	No Change
V3 Optimism USDC/USDT	WETH	Liquidation Factor	90%	88%
V3 Ethereum USDC/USDS	wstETH	Liquidation Factor	87%	85%
V3 Ethereum USDT	wstETH	Liquidation Factor	85%	No Change

Collateral Factor

Comet	Asset	Parameter	Current Value	Recommended Value
V3 Ethereum USDC/USDT/USDS	WETH	Collateral Factor	83%	No Change
V3 Arbitrum USDC	WETH	Collateral Factor	83%	No Change
V3 Arbitrum USDT	WETH	Collateral Factor	85%	83%
V3 Arbitrum USDC.e	WETH	Collateral Factor	78%	No Change
V3 Optimism USDC/USDT	WETH	Collateral Factor	83%	No Change
V3 Ethereum USDC/USDS	wstETH	Collateral Factor	82%	80%
V3 Ethereum USDT	wstETH	Collateral Factor	80%	No Change

Motivation

Full proposal and forum discussions can be found in the following post.

• Supply Cap
• WETH and wstETH - LP/CF/LF
• tBTC Risk Recommendations

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.xyz/tos

https://tally.xyz/gov/compound/proposal/465