Black Thursday Response Thread

Could we build a docker container for the keeper bot? Like could i simplify setting up a bot to just be a docker run command?

I think there is already a keeper bot implemented. Can we just simplify the process to stand it up and run it? If thought is that there just aren’t enough keepers running it seems that we might be able to mitigate that problem by making it easy to run a bot.

7 Likes

The foundation should run a “well funded” hackathon to get multiple keeper implementations…

6 Likes

For information, total MKR volume during the selloff across exchanges was around 13k MKR. a Flop auction to fill the System surplus would be around 13k MKR too at current price. So I think it is imperative to have a way for “normal” users to participate instead of just keepers, or the volume will not be absorbed or a few keepers will get it and dump it on the markets which will destroy the price because of the very low liquidity.

4 Likes

Feels like we are coming to an end of options being proposed. I will add polls to each of these suggested options now.

Is it necessary for many auctions to open in parallel? I suppose there is a good reason why we cannot restrict to one auction per asset at a time?

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This is it! We need more participation from broader public. I could provide up to 1k eth liquidity but it’s not worth my time to take a week off for scripts.

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How quickly can we get very nice, clean, container of the Docker bot up? I think it’s a good idea.

@LongForWisdom do we know some people that are part of the maker dev team that might be able to dedicate resources to this?

I believe the keeper team is already working on this type of thing. I’m not sure who is best to contact about it.

Seems like the kind of task that would be amenable to gitcoin bounty.

Note that we need to figure out the actual values we want to use for many of these changes. Open to suggestions, with pros/cons provided.

give a option for SF that would approximate the current yield on 5 year t-notes (possibly 1 year t-notes). Would be my suggestion

I have no idea what the current yield of 5 year t-notes is. If you want to suggest a number, that would be great :slight_smile:

~ 0.267 % when i checked this morning. That would seem like a reasonable bottom end of the voting band, so maybe 4% - 0.3%?

Ah sorry, I missed that in that thread. I’ve been on a call for over 3 hours and managing this.

As far as the DSR go i would do whatever i needed to to set the DSR to 0%. Not sure if that is a spread vote or something else. That might be too drastic though. So someone else might want to also throw out another number.

2 Likes

Why? I still think we should keep the DSR spread set to 0% (DSR=SF). We need to encourage people to mint and hold DAI. The more DAI in circulation, the more fees MKR can take with the SF (long term).

Unofficial summary from the Maker community call just now-

  1. Media should email [email protected]

  2. An emergency shutdown (not happening now) would cause DAI holders to take a haircut, whereas the social contract of MakerDAO is that MKR tokens take a haircut in the event of system failure. Therefore we should try and ensure that MKR holders take a hair cut by avoiding emergency shutdown if possible. I heard that emergency shutdown is not being considered as an immediate option.

  3. MKR buyers should prepare for a large MKR system auction in < 48 hours. If this is successful it will pay back the current $-4M surplus.

  4. For altruistic whales who want to help, the current best way to “donate” to this issue is to bid on the upcoming MKR system auctions.

  5. MKR buyers should consider buying MKR on open market to support the underlying MKR price. (down 44% in last 24h)

  6. ETH buyers should consider running a keeper bot to buy liquidated collateral and help prevent this issue from happening again. https://github.com/makerdao/auction-keeper

  7. The simplest root cause here (unconfirmed) is that a lack of keeper bot competition contributed to ETH collateral being sold for $0, possibly because of high gas prices and eth node sync issues, and many keepers run their own eth nodes.

  8. In the next 24 hours, we must work on ways to make it easy for anyone who can afford it to participate in the MKR system auctions. We won’t want to constrain the set of auction buyers to those who can afford it and have the technical ability.

  9. In my opinion, keepers and MKR buyers should prepare for sustained high gas prices, and downward pressure on ETH and MKR. The Dow Jones hit sell-off circuit breakers three times in the past week and a half. It’s a historic week. We should plan for global markets to potentially crash further which may correlate with further crypto drops.

5 Likes

We want to encourage people to sell DAI on the market. Provide liquidity to all the people who are demanding DAI.

My suggestion would be that we probably want to slow down the rate the DSR “sucks” DAI from the system until things are a bit more stable.

4 Likes