[ARC] Gauntlet <> Aave Renewal

The Snapshot has failed. The turnout was the highest we’ve seen for a poll (1.1M votes).

Risk management evolves quickly. At times, we have not adapted quickly enough. I want to highlight where we missed over the past year:

  • Communicating more directly with key stakeholders than the community
  • Failed to push for updated community consensus on risk appetite
  • Moving too fast on risk-off changes without a framework
  • Did not align our evolving scope of work with community priorities (deployments, monitoring)
  • Messed up FEI recs which caused force liquidations
  • Moved too slow on merge risks

Internal Gauntlet and external DAO measures have been taken to prevent and unblock those and similar scenarios in the future.

As a next step, we welcome any and all feedback - good or bad. We haven’t received much in this forum yet. As an aside, the payment will be re-calculated prior to posting an updated Snapshot. For example, last week’s proposals removed several assets, which amounts to a reduced payment of ~$330k.


Separately for visibility, here is a non-exhaustive list of active work streams:

  • Initial risk parameter recommendations to launch Aave V3 ETH
  • Analysis on Llama protocol growth proposals including wMATIC Interest Rate updates
  • Continued price manipulation oracle analysis
  • Ongoing risk simulation, parameter recommendations, and daily dashboard updates for Aave V2 ETH, Aave V3 AVAX, and Optimism markets
  • Ongoing asset listing risk analyses, including cbETH, USDT, and OP
  • Interest rate curve research for Aave and optimizations
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