Similar to @MarcZeller, I have an issue with the recklessness that MakerDAO is taking related to Ethena’s USDe. It’s a very risky move of them to grow the D3M at this speed.
But shouldn’t we temper our own reaction as well?
A 0% LTV risk parameter for DAI is a very drastic measure. Even if there is an issue with MakerDAO, it is very very unlikely to cause a significant depeg. It won’t bring DAI to $0.
Maybe there are some more moderate actions that can be taken?
E.g. excluding it from the stablecoin E-mode, removing from Merit, lowering LTV to a safer level in line with a worst-case DAI depeg, etc.
For context:
There is circa $150M of DAI and $50M of sDAI on mainnet, and another ~$85M of DAI and sDAI on L2s and Gnosis - deposited on Aave.
Especially on Gnosis, there is a big presence and reliance on DAI. The chain’s native token is xDAI. And more than half of the collateral and over half of the borrowed assets are DAI denominated.
Reducing the LTV to 0% would essentially kill Aave on Gnosis.
Let’s not cause undue harm to the Aave ecosystem.