Chaos Labs supports the proposal to increase the supply caps for rETH and wstETH on V3 Ethereum, with the following modification:
| Asset | Current Supply Cap | Recommendation |
|---|---|---|
| wstETH | 200,000 | 300,000 |
| rETH | 20,000 | 40,000 |
Utilizing our supply cap methodology, we conducted stress tests simulating depeg scenarios yielding the results in the graphs below. For wstETH, we recommend a more modest increase in the supply cap than originally proposed.
wstETH:
rETH:
