Executed
Gauntlet Recommendations to Lower stMATIC/MaticX non-emode LT/LTV on Polygon v3
Votes
Proposal
Proposal
title: Gauntlet Recommendations to Lower stMATIC/MaticX non-emode LT/LTV on Polygon v3 author: Paul Lei, Watson Fu, Nick Del Zingaro, Walter Li, Jonathan Reem, Nick Cannon, Sarah Chen, Dana Tung discussions: https://governance.aave.com/t/arfc-gauntlet-recommendation-to-lower-stmatic-maticx-non-emode-lt/14859
Summary
Gauntlet recommends lowering stMATIC, MaticX non-emode LT/LTV on Polygon v3 to improve the risk profile associated with MATIC LSTs.
Reducing MATIC LST non-emode LT to lower borrowing power can help combat the following.
- Risks of reduced WMATIC supply in the future, which may cause long-term growth risk for Polygon v3
- Risks of reduced capacity for recursive LST - WMATIC borrowing
- Risks associated with increased stablecoin borrowing against LST collateral, amidst decreasing MATIC LST liquidity
Specification
| Chain | Asset | Action | Current Value | New Value |
|---|---|---|---|---|
| Polygon | stMATIC | Lower non-emode LT | 65% | 60% |
| Polygon | stMATIC | Lower non-emode LTV | 50% | 45% |
| Polygon | MaticX | Lower non-emode LT | 67% | 62% |
| Polygon | MaticX | Lower non-emode LTV | 58% | 45% |
Implementation
The proposal implements changes on Polygon v3 using the following pre-deployed payloads:
References
- Discussion: https://governance.aave.com/t/arfc-gauntlet-recommendation-to-lower-stmatic-maticx-non-emode-lt/14859
- Snapshot: https://snapshot.org/#/aave.eth/proposal/0x151df3127d187c203ff3a975d8ab9e34493d77edf67ec6884dc086d5aea9ce89
Disclaimer
Gauntlet has not received any compensation from any third-party in exchange for recommending any of the actions contained in this proposal.
Copyright
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