# Gauntlet Guardian - wstETH Recs

**URL:** https://forum.moonwell.fi/t/gauntlet-guardian-wsteth-recs/845
**Category:** Proposals
**Tags:** base
**Created:** [March 28, 2024, 5:46pm UTC](https://forum.moonwell.fi/t/gauntlet-guardian-wsteth-recs/845 "2024-03-28T17:46:57Z")
**Posts on this page:** 2
**Page:** 1

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### Author: ![Gauntlet](https://dub1.discourse-cdn.com/flex017/user_avatar/forum.moonwell.fi/gauntlet/32/780_2.png) [@Gauntlet](https://forum.moonwell.fi/u/Gauntlet)
#### Post date: [March 28, 2024, 5:46pm UTC](https://forum.moonwell.fi/t/gauntlet-guardian-wsteth-recs/845/1 "2024-03-28T17:46:57Z")

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## Simple Summary

Gauntlet will use Cap Guardian to increase Supply caps for wstETH.

| | Current Supply Cap | Recommended Supply Cap | Current Borrow Cap | Recommended Borrow Cap |
| --- | --- | --- | --- | --- |
| wstETH | 2100 | 3000 | 900 | No Change |

Gauntlet will be utilizing the Cap Guardians to enact this change as voted by the community within this forum [post](https://forum.moonwell.fi/t/gauntlets-initial-recommendations-for-moonwell-on-base/536) and [proposal](https://gov.moonwell.fi/artemis/proposal/39).

## Supporting Data

### wstETH Cap Recommendations

**Cap Usage**

The wstETH Supply Cap has increased over the 75% threshold.

 ![image](https://europe1.discourse-cdn.com/flex017/uploads/moonwell/original/2X/5/5a49e468c82a82f038bfc87a423cca464176eca0.png)

### wstETH positions

The top 7 positions supplying wstETH are borrowing correlated assets with exception for two positions - one borrowing USDC and another position with no debt. Gauntlet will continue to monitor these positions.

 ![image](https://europe1.discourse-cdn.com/flex017/uploads/moonwell/original/2X/0/0713b83ac9bc9f798b4303c4b0e4e7c685850888.png)

### wstETH Circulating Supply

wstETH’s circulating supply on Base has also been increasing exponentially since the start of the year with 267% increase YTD.

 ![image](https://europe1.discourse-cdn.com/flex017/uploads/moonwell/original/2X/b/bf3d85c88a1c6e3f3090d8a83c0178aabb759adf.png)

---

<div class="post-metadata">

### Author: ![Gauntlet](https://dub1.discourse-cdn.com/flex017/user_avatar/forum.moonwell.fi/gauntlet/32/780_2.png) [@Gauntlet](https://forum.moonwell.fi/u/Gauntlet)
#### Post date: [March 28, 2024, 6:43pm UTC](https://forum.moonwell.fi/t/gauntlet-guardian-wsteth-recs/845/2 "2024-03-28T18:43:11Z")

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[Transaction 1](https://basescan.org/tx/0xe9751f9f0b6e12f892c4202dca9e6ad25d202b962b9f09e592330b304a987d06) has been implemented via Guardian