Proposal overview
Chaos Labs V2 Ethereum and Polygon LT Reductions
Simple Summary
A proposal to reduce Liquidation Thresholds on Aave V2 Ethereum and Polygon.
Motivation
Following the v2 deprecation framework, Chaos Labs and Gauntlet advise implementing the subsequent parameter changes to the frozen assets on Aave v2 Ethereum and Polygon
As Liquidation Threshold reductions may lead to user accounts being eligible for liquidations upon their approval, we want to clarify the full implications to the community at each step. We will publicly communicate the planned amendments and list of affected accounts leading to the on-chain execution.
The full governance post can be found here
Specification
Chaos and Gauntlet align on the aggressive approach to expedite the deprecation of several assets on V2, with a potential for ~$120K in total value eligible for liquidation, at the time of posting this proposal
Aave v2 Ethereum
| Asset | Current LT | Chaos Rec LT | Value Liquidated ($) | Accounts Liquidated |
|---|---|---|---|---|
| CRV | 30% | 25% | 126 | 1 |
| CVX | 24% | 0.05% | 33.24K | 2 |
| DPI | 5% | 0.05% | - | - |
| ENJ | 44% | 0.05% | 4.64K | 14 |
| ENS | 38% | 30% | 2.7K | 9 |
| LINK | 80% | 75% | 3.63K | 9 |
| MANA | 29% | 0.05% | 25.55K | 13 |
| MKR | 28% | 26% | 72 | 2 |
| REN | 18% | 0.05% | 2.24K | 6 |
| SNX | 30% | 0.05% | 10.55K | 20 |
| UNI | 55% | 40% | 2.16K | 14 |
| YFI | 32% | 0.05% | 20.24K | 10 |
| ZRX | 24% | 18% | - | - |
| 1INCH | 1% | 0.05% | - | - |
| BAL | 1% | 0.05% | - | - |
| BAT | 1% | 0.05% | - | - |
| KNC | 1% | 0.05% | - | - |
| FEI | 1% | 0.05% | - | - |
| xSUSHI | 1% | 0.05% | - | - |
| Value liquidated | Accounts liquidated | |
|---|---|---|
| Total | $106,024 | 103 |
Aave v2 Polygon
| Asset | Current LT | Chaos Rec LT | Chaos Rec LTV | Value Liquidated ($) | Accounts Liquidated |
|---|---|---|---|---|---|
| SUSHI | 45% | 0.05% | 0% | 13 | 3 |
| DPI | 45% | 0.05% | 0% | 40 | 2 |
| BAL | 45% | 0.05% | 0% | 1.2K | 15 |
| CRV | 45% | 0.05% | 0% | 127 | 11 |
| GHST | 40% | 0.05% | 0% | 7.7K | 10 |
| LINK | 65% | 0.05% | 0% | 6.6K | 26 |
| Value liquidated | Accounts liquidated | |
|---|---|---|
| Total | $15,600 | 69 |
References
- Implementation: AaveV2Ethereum, AaveV2Polygon
- Tests: AaveV2Ethereum, AaveV2Polygon
- Snapshot: Direct-to-AIP
- Discussion
Copyright
Copyright and related rights waived via CC0.
Your voting info
Voting results
YAE
623,330
AAVE100.00%
NAY
0
AAVE0%
Top 10 addresses
Votes
YAE
144.3K
YAE
103.0K
YAE
86,779
YAE
60,000
YAE
59,999
YAE
43,669
YAE
42,576
YAE
38,106
YAE
21,206
YAE
20,000
Executed on
Dec 18, 2023Required
623.33K
320.00K
Required
623.33K
80,000.00
16,000,000
Proposal details
Block
14 Dec 2023, 06:43 UTC +00:00
18782673
Block
15 Dec 2023, 06:57 UTC +00:00
18789873
Block
17 Dec 2023, 22:57 UTC +00:00
18809073
18 Dec 2023, 23:41 UTC +00:00
Chaos Labs