[ARFC] Add gmETH on Arbitrum V3

Governance New Asset
1

Title: [ARFC] Add gmETH on Arbitrum V3
Discussions: [TEMP CHECK] Add gmETH on Arbitrum V3
Author: @0xlide - @SaucyBlock
Date: 2024-03-05

Summary

This publication presents the community an opportunity to add gmETH on the Arbitrum Aave v3 Liquidity Pool.

Motivation

GMX Protocol is the largest DEX offering derivatives and one of the most popular DeFi’s today. The introduction of several new features and integration with Chainlink Data Stream in GMX V2 has significantly reduced the risks of front-running and price manipulation compared to GMX V1. gmETH is a ETH-USD’s Liquidity Token on the GMX V2 and earn fees from leverage trading, borrowing fees and swaps.

Integrating gmETH as collateral asset in the Aave V3 Arbitrum Pool has the potential to create new demand for borrowable assets on Aave V3.

Specification

Ticker: gmBTC
Contract Adress: 0x70d95587d40A2caf56bd97485aB3Eec10Bee6336

Chainlink Oracle: 0xfb3264d1129824933a52374c2c1696f4470d041e

The parameters shown below are supported by @ChaosLabs

Parameter Recommendation
Isolation Mode NO
E-Mode NO
Enable Borrow Disabled
Stable Borrow Disabled
Borrowable in Isolation Disabled
Siloed Borrowing Disabled
Frash Loan Disabled
LTV 60.00%
Liquidation Threshold 65.00%
Liquidation Bonus 12.00%
Reserve Factor N/A
Supply Cap(gmBTC) $3,500,000
Borrow Cap(gmBTC) N/A
Debt Ceiling N/A
Liquidation Protocol Fee 10.00%
Uoptimal N/A
Base 0
Variable Slope1 N/A
Variable Slope2 N/A
Stable Slope1 N/A
Stable Slope2 N/A
Base Stable Rate Offset N/A
Stable Rate Excess Offset N/A
Optimal Stable To Total Debt Ratio N/A

Reference

Project: https://gmx.io/#/
GitHub: https://github.com/gmx-io
Docs: https://docs.gmx.io/docs/intro
Audit: https://github.com/gmx-io/gmx-synthetics/tree/main/audits
Twitter: https://twitter.com/GMX_IO?s=20
Telegram: https://t.me/GMX_IO
Discord: https://discord.com/invite/H5PeQru3Aa

Next Step

  • If consensus on ARFC stage is reached and risk service providers provide feedback on risk parameters, escalate to ARFC snapshot stage.
  • . If ARFC snapshot stage outcome is YAE, escalate to AIP stage

Disclaimer

0xlide is not presenting this ARFC on behalf of any third party and is not compensated by any entity for creating this ARFC.

Copyright

Copyright and related rights waived via CC0.

1 Like
2

The following proposal has been escalated to ARFC Snapshot.

Vote will start tomorrow. We encourage everyone to participate.

3

Broadly supportive of this proposal - can @ChaosLabs please confirm they are happy with these parameters and provide some more colour?

1 Like
4

do we have guidelines on minimal requirements an asset needs to have before they have a chance at being listed? As I understand things, any asset can be listed safely with the appropriate conservative parameter settings. Of course we do not do this for a variety of reasons. But having clear guidelines for such listings would be great for transparency and for cutting down on potential governance posts for assets that have no chance of making it.