Aave V1 Deprecation Phase 2
Aave V1 Deprecation Phase 2
Author
BGD Labs @bgdlabs
Creator
0xf71fc92e2949ccF6A5Fd369a0b402ba80Bc61E02
Simple Summary
Approve further steps of Aave v1 off-boarding, to reduce operational overhead on deprecated Aave instances. Therefore the proposal suggests to upgrade the liquidation manager to allow liquidation of healthy positions with a fixed 3% bonus.
Motivation
The Aave protocol v1 was released in January 2020 and eventually superseded by Aave protocol v2 in December on the same year.
While Aave v1 has been deprecated for a long time, some liquidity is still stuck on the protocol 1. Even if this instance is not covered by the Aave Safety Module, being part of Aave, it still is monitored and evaluated whenever development and/or security decisions are made.
This creates meaningful overhead for all involved development & security teams, which directly adds cost to the Aave DAO. Additionally, the architecture of Aave v1 is quite different to Aave v2 & v3, making it the most ad-hoc instance of Aave.
On 6th of february a first set of measures was implemented by the DAO to accelerate the offboarding process. The proposed changes are in line with was suggested in the original offboarding plan for phase 2.
Specification
The proposal contract calls:
- ADDRESSES_PROVIDER.setLendingPoolLiquidationManager(LIQUIDATION_MANAGER_IMPL);
to update the implementations accordingly.
This upgrade will:
- allow liquidations of collateralized positions with 3% liquidation bonus by replacing the liquidation manager with 0x60eE8b61a13c67d0191c851BEC8F0bc850160710
References
- Implementation: AaveV1Ethereum
- Tests: AaveV1Ethereum
- Snapshot
- Discussion
- Updated Implementations
Copyright
Copyright and related rights waived via CC0.