Summary
Gauntlet recommends setting the supply caps to 0 for three low-demand LST/LRT collateral listings across the Ethereum WETH and wstETH Comets.
Proposed Changes
| Comet | Collateral | Current Supply Cap | Proposed Supply Cap |
|---|
| Ethereum WETH | pufETH | 105 | 0 |
| Ethereum WETH | ezETH | 500 | 0 |
| Ethereum wstETH | tETH | 44 | 0 |
Setting a supply cap to 0 prevents users from depositing additional units of the affected collateral into the corresponding Comet.
This proposal does not:
- Force liquidations.
- Change collateral or liquidation factors.
- Prevent withdrawals or repayments.
- Affect existing collateral balances.
Existing positions will continue to operate normally, and users will retain the ability to repay debt and withdraw collateral.
Proposal Actions
- Set the pufETH supply cap on the Ethereum WETH Comet to
0.
- Set the ezETH supply cap on the Ethereum WETH Comet to
0.
- Deploy and upgrade the Ethereum WETH Comet to apply the updated configuration.
- Set the tETH supply cap on the Ethereum wstETH Comet to
0.
- Deploy and upgrade the Ethereum wstETH Comet to apply the updated configuration.
Additional Information
For the complete motivation, methodology, risk considerations, and supporting data, see the Compound V3 ETH Comets: Zero Supply Caps for Low-Demand LST/LRT Collateral forum post.
