The ACI stands firmly against these recommendations.
uOptimal has been optimized (pun intended) for growth and competitiveness reasons.
AIP 306 enforcement has been more than successful.
wETH liquidity for liquidations can be sourced by MEV bots from other venues such as Balancer,
additionally wETH borrow cost at 83.8% at 100% utilization will increase deposits and incentivize repays.
Concerns seem unfounded and risk-reward is in favor of keeping the status quo.