[Temp Check] Allez Labs risk provider proposal to Aave DAO

Thank you for your feedback and for recognizing the expertise and value Allez Labs brings to Aave’s risk management efforts. We appreciate your acknowledgement of our team’s substantial experience with Aave and GHO. Our comprehensive scope, especially our focus on GHO, is designed to leverage such opportunities for the DAO’s benefit.

In response to the concerns raised about the GHO launch, we acknowledge that the rollout encountered challenges. At the time of GHO’s launch, two of our contributors had recently departed from the company, with Matt shifting his focus from Aave risk to more general data as GHOs direction became governed by the DAO. During this time, Matt continued to conduct many internal analyses, ranging from risk assessments of GHOs collateralization and revenue to more technical impact analyses such as the AIP 308, rather than governance.

Our initial parameter recommendations aimed at a conservative launch to ensure a solid foundation and long-term sustainability. The final parameters favored more aggressive growth with lower rates, contributing to the initial difficulties with the peg.

Moreover, our team developed the initial version of the GHO Stability Module (GSM), which, upon activation, can serve as a pivotal solution for the peg.

We are excited about the prospect of contributing to Aave through Allez Labs with direct involvement in the protocol and forum.