[ARFC] sDAI Onboarding on Aave V3 Gnosis Pool

title: [ARFC] sDAI Onboarding on Aave V3 Gnosis Pool
author: @marczeller - Aave-chan Initiative
date: 09-10-2023


This ARFC proposes the onboarding of sDAI into the Aave V3 Gnosischain Pool. With the imminent deployment of Aave V3 on Gnosischain and the recent deployment of sDAI, we believe this integration will further enhance the utility and liquidity of the Aave ecosystem on Gnosischain.


  • Aave V3 Gnosischain Deployment: The deployment of Aave V3 on Gnosischain is on the horizon. As outlined in the Gnosischain deployment ARFC, sDAI was identified as a prime collateral candidate for Aave. However, at the time of the proposal’s creation, sDAI had not been deployed.

  • Rapid Growth of sDAI: Since its deployment, sDAI has shown significant traction, attracting $46M in just a few days. This demonstrates the community’s trust and the potential of sDAI as a collateral asset in the Aave ecosystem.

  • Technical & Timeframe Considerations: We propose the onboarding of sDAI into the Aave V3 Gnosischain deployment, either as part of the initial deployment or through a subsequent onboarding AIP, depending on what’s most optimal from both a technical and timeframe perspective.


  • Asset: sDAI
  • Contract Address: 0xaf204776c7245bF4147c2612BF6e5972Ee483701

A Price sync adapter oracle considering both wxDAI value and sDAI exchange rate will be implemented as a Price feed for this asset.

Risk Parameters

sDAI is intended to serve as a collateral asset. Given that there’s minimal value in borrowing it, we propose its onboarding solely as a collateral asset, without borrowing capabilities.

Parameter Value
Isolation Mode NO
Borrowable in Isolation NO
Stable Borrow NO
Enable Borrow NO
Enable Collateral YES
Loan To Value 77%
Liquidation Threshold 80%
Liquidation Bonus 5%
Reserve Factor 10%
Liquidation Protocol Fee 20%
Supply Cap 1.5M sDAI
Borrow Cap N/A
Debt Ceiling N/A
uOptimal N/A
Base N/A
Slope1 N/A
Slope2 N/A

Next Steps

  1. Gather community feedback on this ARFC.
  2. If consensus is reached, escalate this proposal to the ARFC Snapshot Stage.
  3. If the Snapshot outcome is YAE approved, escalate to the AIP stage.


The Aave-chan Initiative is not presenting this ARFC on behalf of any third party and is not compensated by any entity for creating this ARFC.


Copyright and related rights waived via CC0.


We support the listing of sDAI

1 Like

Chaos Labs supports the onboarding of sDAI into the Aave V3 Gnosischain with the proposed parameters in the post, aligning with sDAI parameters on Aave V3 Ethereum and as collateral only.

Per @MarcZeller 's explanation, the liquidity of sDAI on the Gnosischain has seen a notable uptick over the past week, surging from around $10 million to approximately $50 million. This significant increase enhances its viability as a collateral asset for the upcoming Aave deployment on the Gnosischain.

1 Like

Supporting this one. With Spark expanding to Gnosis sDAI liquidity will grow.

1 Like

Full support!

Note that sDAI is already live as collateral on the old Agave Market (= Aave v2 fork) on Gnosis, with a few million already deposited. Having it available natively on Aave would be preferred, and might attract significant liquidity.

Gauntlet supports the parameters proposed, given the release of the new sDAI-wstETH pool with $4m TVL on Balancer, which strengthens liquidity between stable-nonstable pairs.

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