We want to flag that the cbETH supply is currently at ~87% of the supply cap.
Our supply cap methodology recommends increasing the caps by 2X. However, the cbETH emode proposal is currently in Snapshot, and if passed, enabling e-mode will change the asset’s risk profile.
Therefore, we recommend prudently increasing the caps to observe the behavior of borrowers and suppliers with this potential new configuration.
As a first step, we recommend increasing the cap to 30K cbETH.