[ARFC] Borrowing Cap Expansion Request (MKR)


This is a proposal to expand the current cap of borrowing against an isolated collateral (MKR) from $2.5 million to $4.0 million.


I currently have $6.4 million MKR on deposit with AAVE… and would like to expand how much I have borrowed against the position. Unfortunately, the current cap of $2.5 million has been hit – and I am unable to take any further loans against the position.


This proposal will achieve the following:

  • Expand the cap from $2.5 million to $4 million.


I am the largest MKR depositor with AAVE.

Next Steps

I am a rookie to AAVE governance. I’ve made my best efforts in this proposal – but AAVE will need to take it from here in terms of what has to happen to execute upon this.


No claims to copyright with this post.


OP post updated, topic reopened.

Hello, thanks for publishing this proposal. It is compliant with [ARFC] Direct-to-AIP Framework.

Escalating this to the ARFC stage and pinging risk teams @Gauntlet & @ChaosLabs for feedback on expanding debt ceiling from 2.5M to 4M$.

If the risk teams have a consensus, I’ll escalate to AIP myself as part of Skyward program.

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Utilizing our Isolation Mode Methodology, we support increasing the debt ceiling for MKR to $6M. This figure was derived using a conservative approach, given the observed utilization of MKR on Aave over the past months.
Similar to our approach for setting supply and borrow caps, we will further evaluate once we see more demand for utilizing MKR as collateral.

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Checking on this. Not trying to rush – just wondering if there is an approximate ETA on the next steps. Just trying to learn the cadence. Thanks!!

UPDATE: AIP-322 has been published, vote starts tomorrow

code is in review, likely publication of AIP today.

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Per Gauntlet’s isolation mode methodology, we support raising the debt ceiling for MKR to $6M.

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