title: [Risk Stewards] rsETH LTV & LT Update
author: @TokenLogic
created: 2025-03-07
Summary
This publication proposes revising the rsETH LTV & LT to match other LRTs on Aave Protocol.
Motivation
rsETH has demonstrated consistent growth on mainnet both with the Core and Prime market. Expanding its presence to Arb and Base instances is expected to further accelerate its adoption and allow for more competition for wstETH debt.
To promote a level playing field between LRTs, this publication proposes aligning the LTV and LT parameters of rsETH with those of ezETH and weETH.
Kelp DAO is providing a 2x Kernel points bonus to eligible holders of rsETH across Aave Protocol.
Specification
The rsETH LTV & LT across Aave instance is to be amended as outlined below:
rsETH/wstETH E-Modes
| Parameter | Current | Proposed |
|---|---|---|
| LTV | 92.50% | 93.00% |
| LT | 94.50% | 95.00% |
rsETH is currently listed on Core and Prime, soon Base and Arbitrum.
Disclosure
TokenLogic does not receive any payment for this proposal.
Next Steps
- Gather feedback from the community.
- Risk Stewards implement the change progressively over two updates, 0.25% each.
Copyright
Copyright and related rights waived via CC0.