Week of November 21, 2022
Summary
An especially turbulent week for Aave, but one which reveals the strength of DeFi and the advantages of DAOs. There’s one forum thread in particular that captures a wide range of strategies, approaches, and attitudes among those participating in the DAO — and it spawned a host of governance proposals (see below).
Check out Aave News #76, and Messari’s Aave Weekly Report.
Proposals
Aave Improvement Proposals (AIPs):
- Risk Parameter Updates for Aave v2 Polygon (126). Llama and Chaos Labs here jointly propose to make parameter changes to the Aave V2 Polygon Liquidity Pool, “[i]n response to recent market events and the resulting discussion on the Aave governance forum.”
- Risk Parameter Updates for Aave v2 Ethereum Liquidty Pool (125). As above, Llama and Chaos Labs here propose parameter changes “in response to recent market events.” It is presented as an alternative to AIP-121 (see below), and also results from discussions in the forum.
- Risk Parameter Updates for Aave V2 Polygon (124). This proposal passed with 100% voting “YAE” and is queued for execution.
- Pause UNI Borrowing (123). This proposal passed with 100% voting “YAE” and was executed on November 27.
- Pause LINK Borrowing (122). This proposal passed with 100% voting “YAE” and was executed on November 27.
- Risk Parameter Updates for Aave V2 ETH Market (2022-11-22) (121). This proposal passed with 100% voting “YAE” and was executed on November 27.
- Risk Parameter Updates for Aave V2 (2022-11-17) (120). This proposal passed with 100% voting “YAE” and was executed on November 26.
On Snapshot:
- Activation of a ParaSwap fee claimer contract. BGD Labs proposes “to deploy a smart contract to automate fee collection from the Aave <> ParaSwap features.”
- Risk Parameter Updates for Aave V3 AVAX 2022-11-23. This proposal “to set borrow caps on FRAX, MAI, and LINK on Aave V3 AVAX” passed on November 25 with 100% voting “YAE.”
- [ARC] V3 Supply Cap Recommendations for Uncapped Assets (Fast-track). This fast-track proposal recommends supply caps for currently uncapped V3 assets. It passed on November 25 with nearly 100% voting “YAE.”
Provide your feedback on these Aave Requests for Comment (ARCs):
- [ARFC] Aave DAO Policy Change: Halt Listings on all Aave v1 & v2 Non Permissioned Deployments. A request “to adopt a policy of halting listings.”
- [ARC] Repay excess debt in CRV market for Aave V2 ETH. Llama and Gauntlet propose to cover the bad debt from the recent exploit with Gauntlet’s insolvency refund and the DAO treasury.
- ARC: Onboard Gamma Strategies’ USDC/GHO Uni v3 Collateral to Mint GHO. This proposal is to use “Gamma Strategies’ GHO-USDC LP position on Uniswap v3 as collateral, utilizing Gamma’s infrastructure.”
- [ARC] Uniswap V3 NFT as Collateral for minting GHO. Discussion continues.
In the Forums
Reducing long tail asset risk. A discussion initiated by @monet-supply.
Delegate platforms. Updates from @Kene_StableLab and @lbsblockchain.
Pricing mechanisms. BGD Labs provides some “visibility” about the pricing mechanisms of assets (like WBTC) in Aave.
Support for cbETH. Certora provides formal verification of the token’s code.
Improve permissions management. @bgdlabs opens a discussion about the “idea of having faster levers…to change non-invasive risk configurations, in order to react swiftly under urgent circumstances.”
On Twitter
Running thread on the series of Aave proposals, by @AaveGrants
The community can choose its path forward, @Matthew_Graham_ reminds us.
What does it mean to freeze an asset? by @lemiscate.
Quick Gov Links: Governance FAQ | Governance Docs | Discord Governance Channel | Snapshot | AIPs | Aave on Boardroom