# \[ARFC\] GHST Polygon V3 “Soft Freeze”
**URL:** https://governance.aave.com/t/arfc-ghst-polygon-v3-soft-freeze/12192
**Category:** Governance
**Created:** [March 7, 2023, 6:24pm UTC](https://governance.aave.com/t/arfc-ghst-polygon-v3-soft-freeze/12192 "2023-03-07T18:24:11Z")
**Posts on this page:** 3
**Page:** 1
### Author:  [@MarcZeller](https://governance.aave.com/u/MarcZeller)
#### Post date: [March 7, 2023, 6:24pm UTC](https://governance.aave.com/t/arfc-ghst-polygon-v3-soft-freeze/12192/1 "2023-03-07T18:24:11Z")
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title: [ARFC] GHST Polygon V3 “Soft Freeze”
Author: @marczeller - Aave Chan Initiative
Dated: 2023-03-07
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## **Summary**
GHST is the native asset of the Aavegotchi ecosystem. This ARFC proposes new risk parameters for GHST following the deprecation of the “Bonding Curve,” which has created a new risk profile for the asset.
## **Abstract**
This ARFC presents the Aave governance with an opportunity to change GHST risk parameters for Aave Polygon V3 Liquidity pool.
## **Motivation**
GHST is the native asset of the Aavegotchi ecosystem. This ARFC proposes new risk parameters for GHST following the deprecation of the “Bonding Curve,” which created a new risk profile for the asset and is expected to increase its volatility.
Previously, GHST was minted and burned on an ETH L1 bonding curve contract, which lowered its volatility. However, with the deprecation of the curve, a “Soft Freeze” of the GHST asset on Aave V3 Polygon is proposed to allow for a conservative reaction to this new risk profile.
Once the bonding curve is deprecated and more market data is available on the risk profile of GHST, Aave governance will have in a few weeks/months a stronger basis to assess and provide updated risk parameters for the GHST asset.
This ARFC is compliant with the “Direct-to-AIP” governance framework and if a risk service provide team provide positive feedback on it, will be directly escalated to AIP stage tomorrow.
## **Specification**
Ticker: GHST (GHST)
Contract Address: 0x385Eeac5cB85A38A9a07A70c73e0a3271CfB54A7
| Risk Parameter | Current Value | Proposed Value |
| --- | --- | --- |
| Isolation Mode | NO | NO |
| Enable Borrow | YES | NO |
| Enable Collateral | YES | YES |
| Loan To Value | 25% | 0% |
| Liquidation Threshold | 45% | 45% |
| Liquidation Bonus | 15% | 15% |
| Reserve Factor | 20% | 20% |
| Liquidation Protocol Fee | 10% | 10% |
| Borrow Cap | 3.23M | 220k |
| Supply Cap | 5.88M | 4.65M |
| Debt Ceiling | N/A | N/A |
## **Disclaimer**
The Aave-Chan Initiative (ACI) has no association or compensation from PixelCraft Studio to publish this AFRC.
As of writing, ACI founder Marc Zeller holds significant holdings in GHST, the native asset of the Aavegotchi protocol, and significant amounts of game assets in the Gotchiverse.
## **Copyright**
Copyright and related rights waived via CC0,
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### Author:  [@ChaosLabs](https://governance.aave.com/u/ChaosLabs)
#### Post date: [March 7, 2023, 7:26pm UTC](https://governance.aave.com/t/arfc-ghst-polygon-v3-soft-freeze/12192/2 "2023-03-07T19:26:04Z")
Chaos Labs supports this proposal as an immediate defensive solution to allow tracking and analyzing the GHST market with the coming changes in its risk profile.
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### Author:  [@Pauljlei](https://governance.aave.com/u/Pauljlei)
#### Post date: [March 7, 2023, 10:33pm UTC](https://governance.aave.com/t/arfc-ghst-polygon-v3-soft-freeze/12192/3 "2023-03-07T22:33:04Z")
Gauntlet supports a temporary freeze but is continuing to analyze the market. We will let the community know should unfreezing be prudent.