We have published an updated supply and borrow cap methodology, which we used to propose updates for several assets on Aave V3 Polygon and Arbitrum that have reached or are near full utilization of caps, including MAI - link
Chaos Labs recommends reducing the supply cap of MAI to 1,086,000, doubling the current supply. Given this new supply cap, we recommend setting the borrow cap at 597,300 (0.55*supply cap).
The proposed caps are conservative given MAI’s profile and being listed in isolation mode. However, we wish to be consistent with our recommendations and be able to dynamically increase the caps after analyzing new supplies and borrows.
| Current Supply | Current Supply Cap | Recommended Supply Cap | Current Borrow | Current Borrow Cap | Recommended Borrow Cap | |
|---|---|---|---|---|---|---|
| MAI | 543,000 | 100,000,000 | 1,086,000 | 359,980 | 359,980 | 597,300 |