Asset Parameters Optimization














Asset Parameters Optimization







Author

Aave-Chan Initiative

Creator

0x57ab7ee15cE5ECacB1aB84EE42D5A9d0d8112922

Simple Summary

This proposal aims to optimize parameters of certain assets across networks where it is supported.

Motivation

This proposal aims to optimize the Reserver Factor of various stables and also optimize the Optimal Utilization of various assets to better reflect the market mechanisms.

The key changes include:

  • Adjusting Reserve Factor (RF) of various stables from 10% to 20%: increasing the RF routes a larger portion of the interest paid by users to Aave DAO’s Treasury. This does not impact users’ health factor directly while providing better cushion for assets at low utilization.
  • Adjusting Optimal Utilization (Uoptimal) of various assets to 45%: We recommend to decrease Uoptimal of CRV, BAL and SNX to 45%, to better reflect the borrow and supply dynamism for these assets.

Specification

MarketAssetCurrent RFRec. RF
Ethereum CorecrvUSD10%20%
Ethereum CoreRLUSD10%20%
Ethereum CoreUSDtb10%20%
CeloUSDT10%20%
DeploymentAssetCurrent UOptimalRec. UOptimalCurrent BaseRec. BaseCurrent Slope 1Rec. Slope 1Current Slope 2Rec. Slope 2
Ethereum CoreCRV70%45%3%-14%10%300%150%
Ethereum CoreSNX80%45%3%-15%-100%150%
Ethereum CoreBAL80%45%5%-22%15%150%-
Ethereum CoreRLUSD80%-0%4%6.5%2.5%50%-
PolygonCRV70%45%3%-14%10%300%150%
PolygonBAL80%45%5%-22%15%150%-

References

Copyright

Copyright and related rights waived via CC0.

by BGD Labs