Weekly Governance Recaps

Weekly Governance Update: Week of May 27th, 2024

The final days of May included risk recommendations from Gauntlet and a new proposed collaboration with a DeFi protocol.

Here are the highlights:

Contributor Updates

Forum post: Gauntlet Base/Moonbeam/Moonriver Recommendations

Author: Gauntlet

Summary: Wednesday, Gauntlet offered their regular recommendations on risk parameters across the three Moonwell deployments.

  • Base: Supply caps for WETH and wstETH were increased, while the supply cap for USDbC was decreased. The borrow cap for wstETH was increased and the borrow cap for USDbC was decreased. Three IR curves were recommended to be adjusted: WETH (decreased Multiplier), USDC (decreased Multiplier), and AERO (increased Multiplier).
  • Moonbeam: Borrow caps for xcUSDC, xcUSDT, xcDOT, FRAX, and BTC.wh were decreased. Reserve Factors for WGLMR, xcDOT, BTC.wh, and ETH.wh were increased. Collateral Factors for ETH.wh, WBTC.wh, and USDC.wh were slightly decreased. Three IR curves were recommended to be adjusted: xcUSDC (decreased Kink and increased Multiplier), xcUSDT (decreased Kink and increased Multiplier), and FRAX (decreased Multiplier).
  • Moonriver: The single proposed change for Moonriver was an IR curve adjustment for xcKSM (decreased Multiplier).

For the exact quantitative changes and motivations behind these decisions, check out the forum post above.

Integration Updates

Forum post: Introducing Moonwell MetaMorpho Vaults: Next-Gen DeFi Lending

Author: BlockAnalitica

Summary: On Friday, community member BlockAnalitica proposed a collaboration between Moonwell, Block Analitica, B.Protocol, and Morpho Blue. Block Analitica is a risk management firm; Morpho Blue is a governance-minimized lending protocol that hosts MetaMorpho, a protocol for creating lending vaults; and B.Protocol is a builder of open-source protocols and risk mitigation infrastructure. This proposal entails creating yield-generating Moonwell MetaMorpho vaults with initial support for USDC and WETH.

To read more about the proposed collaboration, see the forum post above.

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