Right now eUSD is at 0.92. This is not a good look for a stablecoin project, and causes uncertainty for the protool.
I propose to raise the peg by gradually increasing the safeCollateralRatio for all vaults. We can have an on-going snapshot to vote to Raise 10%, Lower 10%, to Hold on a weekly basis.
In addition, any eUSD minter with less than 200% CR, sell their esLBR for LBR, like the dLP requirement. This will incentivise eUSD minters to adjust their CR to >200%.
For the long-term, we can bump up the CR like by 1 % everyday price of eUSD is below redemption price, using a smart contract, but we will need a reliable eUSDv2 oracle, or use the centralised oracle 0x25215B4d21202ac251CBB2C2b63D812CB10A8165 first.
Currently the CR is 160%. bumping up the CR will 1) make users repay their debt 2) increase the yield of the eUSD
Competitively we will be fine. For instance, Prisma's current protocol health rate is at 280%, with most vaults floating around 200%+ for next redemption CR. If we achieve a similar health rate, our eUSD will yield ~10%, which will be very compelling.
Onchain Actions required if this progresses to a Tally: