Gauntlet Guardian - Increase rETH Supply Cap on BASE

Simple Summary

Gauntlet will use Cap Guardian to increase Supply Cap on rETH.

Current Recommended
Supply Cap 400 500

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

Supporting Data

Supply and Borrow Cap Usage

Since our last Guardian action to increase rETH supply caps, there continues to be ramp up demand to supply rETH to the liquidity pool.

Top rETH Suppliers

The top 3 suppliers of rETH either have no debt position or borrowing the base token ETH.

rETH Circulating Supply and Holders

Since our last recommendation, circulating supply has increased from 736 to 780 on the BASE chain.

Asset Borrow Cap Supply Cap Borrow Cap Usage Supply Cap Usage DEX 5pct Slippage Token DEX 25pct Slippage USD
rETH 100 400 43.68% 98.83% 330 $826k

DEX 5% slippage for rETH within the Balancer Pool has decreased since our last recommendation. We will keep monitoring this but there is still substantial liquidity relative to current Borrow Usage of $329k and Borrowing Power of $728k.

Guardian has been implemented to increase rETH supply caps. Here is the transaction.

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