Summary
Gauntlet recommends updating the interest rate curves as well as COMP rewards for WETH and Stablecoin Comets. This proposal is Part 4 of the overarching recommendations to be implemented. In this proposal we specifically target Arbitrum USDT and Base USDC comet's IR curves along with COMP reward recommendations for Mainnet USDS and Arbitrum WETH Comet.
Stablecoin Comets
| Comet |
|---|
| Ethereum USDC |
| Ethereum USDT |
| Ethereum USDS |
| Arbitrum USDC Native |
| Arbitrum USDT |
| Base USDC Native |
| Polygon USDC |
| Polygon USDT |
| Optimism USDT |
| Optimism USDC |
| Scroll USDC |
| Parameter | Current Value | Recommended Value |
|---|
| Annual Borrow Interest Rate Base | 0.015 | 0.015 |
| Annual Borrow Interest Rate Slope Low | 0.0333 | 0.05 |
| Borrow Kink | 0.9 (0.85 for Arbitrum USDT) | 0.9 |
| Annual Borrow Interest Rate Slope High | 4 | 3.4 |
| Annual Supply Interest Rate Base | 0 | 0 |
| Annual Supply Interest Rate Slope Low | 0.039 | 0.054 |
| Supply Kink | 0.9 (0.85 for Arbitrum USDT) | 0.9 |
| Annual Supply Interest Rate Slope High | 3.6 | 3.034 |
| Comet | Current COMP Supply Rewards | Recommended COMP Supply Rewards | Current COMP Borrow Rewards | Recommended COMP Borrow Rewards |
|---|
| Ethereum WETH | 35 | No Change | 20 | 5 |
| Arbitrum WETH | 6 | 10 | 15 | 5 |
| Base WETH | 6 | No Change | 1 | 0 |
| Optimism WETH | 10 | No Change | 5 | 0 |
| Ethereum USDC | 70 | No Change | 71 | 35 |
| Ethereum USDT | 70 | No Change | 50 | 25 |
| Ethereum USDS | 25 | No Change | 25 | 5 |
| Arbitrum USDC | 17 | 20 | 50 | 10 |
| Arbitrum USDT | 7 | 15 | 35 | 10 |
| Base USDC | 13 | No Change | 5 | 0 |
| Polygon USDC | 8 | 0 | 3 | 0 |
| Polygon USDT | 8 | 0 | 4 | 0 |
| Optimism USDT | 5 | No Change | 5 | 0 |
| Optimism USDC | 5 | No Change | 5 | 0 |
| Scroll USDC | 6 | No Change | 2 | 0 |
Motivation
Gauntlet recommends updating the interest rate curve parameters across all WETH and Stablecoin comets to align with market demand. 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.
