Gauntlet Guardian - AERO Cap updates (2024-06-14)

Simple Summary

Gauntlet will use Cap Guardian to increase the Supply and Borrow Cap for AERO.

Asset Current Supply Cap Recommended Supply Cap Current Borrow Cap Recommended Borrow Cap
AERO 12,000,000 16,000,000 8,000,000 10,000,000

Gauntlet will be utilizing the Cap Guardian to enact this change as voted by the community within this forum post and proposal.

Supporting Data

AERO Borrowing

Top Suppliers

4 out of the top 10 AERO suppliers have no debt. The rest of the positions are borrowing USDC against a blended WETH-AERO collateral.

Top Borrowers

The largest borrow positions are supplying USDC or WETH or both as collateral to borrow AERO. Gauntlet will continue to monitor these positons.

AERO Liquidity

Referring to the risk analysis for AERO caps done in the previous cap increase, the current 25% DEX slippage is at 20M tokens, the recommended supply cap increase at 16M is well tolerated within the current liquidity levels and accounts for sufficient buffer to accommodate future AERO emissions or liquidity crunches.

Quick Links

Please click below to learn about our methodologies:

Gauntlet Parameter Recommendation Methodology
Gauntlet Model Methodology

By approving this proposal, you agree that any services provided by Gauntlet shall be governed by the terms of service available at


Guardian Transaction 1 and Transaction 2 have been implemented.

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