Maker Relay Ep 31

[twblack88]

Maker Relay 31

Hey everyone, thanks for checking out Maker Relay!

Whether you hold MKR or DAI, own a vault, or want to get more involved in MakerDAO governance, this is your one-stop-shop for updates on the MakerDAO ecosystem.

This week’s theme: everything goes to mars.

Votes

Check our Governance Tools Resource for links to things like system metrics, Dai metrics, collateral & liquidation metrics, protocol analytics, auctions, and governance history.

Executive Vote

Onboarding Uniswap V2 LPTs
This vote is to onboard 2 new Uniswap V2 liquidity tokens.

• UNI-V2-DAI-USDC

  • UNI-V2-DAI-USDC Initial Collateral Application
  • UNI-V2-DAI-USDC Risk Evaluation
  • UNI-V2-DAI-USDC Smart Contracts Evaluation
  • UNI-V2-DAI-USDC Oracles Evaluation

• UNI-V2-ETH-USDT

  • UNI-V2-ETH-USDT Initial Collateral Application
  • UNI-V2-ETH-USDT Risk Evaluation
  • UNI-V2-ETH-USDT Smart Contracts Evaluation
  • UNI-V2-ETH-USDT Oracles Evaluation

Weekly Governance Cycle

Some polls use instant run-off voting, so you can select multiple options, and ranked-choices will be prioritized.

Poll Name	Vote	Discussion	Type
Add UNI-V2-UNI-ETH as Collateral Type	Vote	Application, Risk Evaluation, Smart Contracts Evaluation, Oracles Evaluation	Collateral Onboarding
Add UNI-V2-LINK-ETH as Collateral Type	Vote	Application, Risk Evaluation, Smart Contracts Evaluation, Oracles Evaluation	Collateral Onboarding
Rates Proposal (Stability Fees)	Vote	Discussion	Stability Fee Adjustments
Interim DAO Budget (100,000 Dai)	Vote	Discussion	Autonomous DAO

Debt Ceiling Instant Access Module

Collateral	Vote	Discussion	Max Debt Ceiling	Target Available Debt (gap)	Ceiling Increase Cooldown (ttl)
UNI-A	Vote	Discussion	50 M	3 M	12 Hours
YFI-A	Vote	Discussion	45 M	5 M	12 Hours
AAVE-A	Vote	Discussion	25 M	2 M	12 Hours
COMP-A	Vote	Discussion	10 M	2 M	12 Hours
LINK-A	Vote	Discussion	140 M	7 M	12 Hours
WBTC-A	Vote	Discussion	350 M	15 M	12 Hours

Check out an ‘at-a-glance’ view of the current Vault types and their parameters on MakerBurn.

Last Week

Activate Debt Ceiling Instant Access Module for ETH-A
Passed Feb 2, 2021 at 15:00 UTC, executed Feb 4 at 15:04 UTC.

• DC-IAM has been activated on the ETH-A vault type, with the following parameters;
  • 1.5 Billion Dai - Maximum Debt Ceiling (line)
  • 30 Million Dai - Target Available Debt (gap)
  • 12 Hours - Ceiling Increase Cooldown (ttl)
• Discussion
• Information about the DC-IAM

Signal Requests

• Turn stablecoins Debt Ceiling to 0
  • @alexis posted this signal to see what the community thinks about setting debt ceilings for stablecoins 0 for a few reasons identified in the comments section.
• IAM Debt Ceiling Parameters (2): LRC-A, BAT-A, BAL-A, MANA-A, ZRX-A, KNC-A, RENBTC-A
  • @Primoz has posted this signal, as well as results from evaluations which helped to determine the optimum parameters for these vault types.
• Lower PSM-USDC-A tout Parameter
  • @hexonaut posted this to signal a possible rate decrease for trading Dai into the PSM for USDC.

Updates

MIPs

Latest MIPs Update #26 Feb. 1, 2021

• No MIPs have been formally submitted for the February cycle.

Proposals in Request-For-Comments

• MIP26: DssGov - Governance Contract Redesign
  • This MIP defines DssGov, a contract replacement for DSChief that comes with improved security, usability, and functionality for holders of the Maker governance token (MKR).
• MIP31: Active Reserve AMM (dss-ara)
  • A technical proposal for an active reserve based on the Uniswap V2 contract.
• MIP32: Peg Stability Module for Compound Mixed Exposure
  • Provides an extension for the PSM. The extension allows the PSM to leverage USDC via dai using cdai. It also converts USDC to cUSDC using the same join adaptor (lending join).
• MIP33: Maker Stability Price Module
  • This proposal allows Governance to defend an MKR price by pre-allocating dai to buy at a pre-defined level.
• MIP34: Keg Streaming Payments Module
  • The Keg is a tool for streaming ERC20 DAI to a preset group of addresses from out of the Surplus Buffer.
• MIP35: Peg Stability Module - Compound Mixed Exposure - With Farming
  • This proposal defines a new Peg Stability Module, which converts USDC to DAI and DAI to USDC, using Compound to generate leveraged yield.
• MIP36: Peg Stability - Compound Governance Dai Leverage
  • This proposal defines a Peg stabilizer controlled by governance, which uses the flash minting technique for Dai lending to leverage MakerDAO’s position on cDai.
• MIP37: Static Reserve For Governance
  • Defines a static reserve that can receive any tokens from anyone as any contract and allows Maker Governance to withdraw them.
• MIP38: DAO Primitives State
  • DAO Primitives State is a MIP that contains all the status related to Core Units, Budgets, and Facilitators.
• MIP39: Core Unit Framework
  • Contains a framework for managing Core Units and modifying them in the DAO Primitives State MIP.
• MIP40: Budget Framework
  • Contains a framework for managing budgets and modifying them in the DAO Primitives State MIP.
• MIP41: Facilitator Framework
  • Contains a framework with subproposal processes for managing Facilitators and modifying them in the DAO Primitives State MIP.
• MIP42: Proposed Compensation Addendum for MakerDAO Contributors
  • Proposes to pay contributors partially in time-locked MKR to increase value returned to contributors and directly align their interests with those of MakerDAO.
• MIP43: Term Lending Module (TLM)
  • Proposes an integration with Yield Protocol. Authors Allan and Alberto are employees of Yield, Inc., a company working to build Yield Protocol. Lev is an advisor to Yield, Inc.
• MIP45: Liquidations 2.0 (LIQ-2.0) - Liquidation System Redesign
  • Proposes a new method for Liquidations in the MakerDAO echo system, including a shift to a “Dutch Auction” style of liquidation.
• MIP46: Parameter Proposal Groups
  • Proposes the formalization of Parameter Proposal Groups. These groups are tasked with evaluating information produced by contributors and domain teams and using this analysis to produce parameter change proposals for governance consideration.
• MIP47: MakerDAO Multisignature Wallet Management
  • Defines the requirements for creating a Multisignature wallet that Maker Governance recognizes.
• MIP48: Streaming Payments via the Keg
  • Describes how to utilize the Keg, a method of streaming DAI to various addresses, at a defined rate.
• MIP49: Governance Rewards
  • Proposes the creation of Governance Rewards, allowing the Maker community to reward MKR holders for locking their MKR tokens in Governance.

Sub-Proposals in the Request-For-Comments phase include:

• MIP13c3-SP9: Onboarding a new collateral type backed by B.Protocol (Declaration of Intent)
  • An experiment is proposed for a native integration between B.Protocol and the MakerDAO system, by on-boarding a new collateral type, namely WBTC-B or ETH-C, with lower CR than WBTC-A or ETH-B (respectively), natively backed by a B.Protocol backstop.
• MIP4c2-SP10: MIP0 Amendments
  • Proposes edits to MIP0 that make it compatible with the newly proposed Domain Framework MIP set. The main difference is that it removes the inbuilt functionality of MIP0 to onboard core personnel. Instead, it uses the DAO Primitives State to determine who have been onboarded as Governance Facilitators by Maker Governance and then introduces logic that allows Governance Facilitators to designate MIP Editors.
• MIP4c2-SP11: MIP5 Amendments
  • Proposes edits to MIP5 that make it compatible with the newly proposed Core Unit Operating Model MIP set. The main change is to the Governance Facilitator Emergency Vote process, which directly deals with onboarding and offboarding Facilitators.
• MIP4c2-SP12: MIP16 Amendments
  • Proposes edits to MIP16 that make it compatible with the newly proposed Core Unit Operating Model MIP set. The main change is to clarify the Governance Powers of Facilitators.
• MIP39c2-SP1: Adding Core Unit (Real-World Finance)
  • This Core Unit is designed to pursue Real-World Asset work and more generally helps MakerDAO take over the traditional finance world.
• MIP39c2-SP2: Adding Risk Core Unit
  • Onboarding Risk Core Unit ensures Maker Protocol can continue to grow safely by having proper risk management parameters and risk mitigation tools applied.
• MIP39c2-SP3: Governance Core Unit - GOV-001
  • Proposed because MakerDAO requires a consistent and well-run governance process managed by elected facilitators to remain stable and secure as it grows.
• MIP40c2-SP1: Modify Core Unit Budget (Real-World Finance)
  • Remuneration for the Real-World Finance Core Unit
• MIP40c2-SP2: Add Core Unit Budget (Risk Core Unit)
  • Remuneration for the Risk Core Unit
• MIP40c2-SP3: Core Unit Budget - GOV-001
  • GovAlpha needs a budget to be able to fulfill its mandate.
• MIP41c4-SP1: Facilitator Onboarding (Real-World Finance)
  • Real-World Finance needs a budget to be able to fulfill its mandate.
• MIP41c4-SP2: Risk Core Unit Facilitator Onboarding
  • Risk needs a budget to be able to fulfill its mandate.
• MIP41c4-SP3: Core Unit Facilitator Onboarding
  • @Longforwisdom is applying to be a Facilitator of GovAlpha due to his current position as Governance Facilitator.

Proposals in Conception

[MIP44: Reward Join Adapter (RewardJoin)]

Learn more about Maker Improvement Proposals (MIPs)

Smart Contracts

• Smart Contract assessments for [UNI-V2-UNI-ETH] and [UNI-V2-LINK-ETH] are here!
  • AAVE-ETH coming soon
• Working on MIP 45 for Liquidations 2.0.
• MIP21 / MIP22 may make it to Kovan depending on reviews.

Oracles

• Published assestment for UNI-V2-AAVE-ETH, UNI-V2-LINK-ETH, UNI-V2-UNI-ETH.
• Deployed oracles for collateral types going out this week.

Risk

• Rates group monthly proposal a modest increase to most collaterals.
• Risk Core Unit proposal and proposed budget.
• Started reviewing Liquidations 2.0

Current Events

Core Unit Season at MakerDAO

In anticipation of the Core Unit Operating Model MIP Set going up for a vote next month, several Domain and Working Groups have started to file for consideration as Core Units completely funded by the DAO. So far, the community has received proposals from Governance, Risk, and Real World Assets, with several other groups presenting working drafts. To learn more about Core Units, join the conversation on the Community Call tomorrow at 12pm EST.

More Information

Check out the Core Unit Onboarding channel on Rocket.Chat
Forum Post: Core Units I wish Existed

State of the Peg

• DAI peg at 1.003.

• PSM revenues are visible thanks to @Sebventures Dune analytics board.

• 1.88 Billion Dai out in the wild.
  • ETH A 1.095 buhbuh Billion
  • USDC A 362 million
  • WBTC 172 million
  • PSM USDC 83 million
  • ETH B 49 million
  • TUSD 30 million
  • PAX 19 million
  • LINK 18 million
  • UNI 12 million
  • YFI 7 million
  • COMP 6 million
  • All UniLP’s at 3 million cap (UniV2UsdcEth UniV2WbtcEth UniV2DaiEth)
  • LRC 1.5 million
  • AAVE 1.4 million
  • BAT 835K
  • BAL 787K
  • Other vaults below 500K (MANA, renBTC, KNC, GUSD, USDT, ZRX, USDC B) totaling 1.289 million.

• Volume at around $1.075 Billion this last week.
• Average VWAP (Volume-Weighted-Average-Price) places Dai at $1.001

• ETH vaults collateralization ratios looking quite healthy.

• Yet, Liquidation Walls (45 million) start at $1650 ETH. Why?

• The second-largest ETH position is at 150%, stay frosty Mr.

• UNI collateralization majority at 210%.

• This is smart because UNI price has been quite volatile lately. A pullback to $15.57 (29% correction) would correspond to 8.5 million in liquidations.

• The largest unicorns keep themselves protected, but there is some downside risk at that 210% bucket. But hey, YOLO, right?

https://daistats.com | http://dai.descipher.io | https://makerburn.com

Community

Articles

• Cointelegraph: After Yearn exploit, attacker funds frozen and reimbursement plans developing
  • Yearn turns to MakerDAO following an attack on a V1 yDAI pool.
• Coindesk: Bullish Sign for Crypto? USDC and Dai Balances on Exchanges Hit Record Highs
  • Both DAI and USDC on deposit brokerages hit a record high; are investors looking to shore up their portfolios?

Maker Forum Deep Dai-ve

• Pre-MIP discussion: PSM flapper
  • Buy-back USDC in the PSM with Dai from the Surplus Buffer, then use that USDC to buy-back MKR instead
• Introducing the MCD Voting Tracker
  • Data Services, an internal team in the Maker Foundation, will be releasing a limited duration Beta Program for a new exciting data product that gives detailed historical data on MCD Governance Polls, Executive Votes and Voters, accessible by anyone via an easy to use Graphical User Interface.

Tweet of the Week

Richard Rosa 😇👿💀 (Pencil_Punisher)

Meetings and Events

MakerDAO Open Calls

Community Call

• The MakerDAO Community Call: Let’s Talk About Core Units
• Tuesdays 9AM PST | 10AM MST | 12PM EST | 5PM UTC | 6PM CET | Crowdcast

Community Collateral Onboarding

• Wednesday, February 17 18:00 UTC with Fortunafi | Zoom
  • Introduction | Collateral Status Index
  • Agenda

Governance & Risk

• Thursdays at 17:00 UTC | Zoom
  • Message #governance-and-risk for Admission
  • Agenda | Dial-in call link | Calendar
  • Archives | Contributing

Know Your MIP

• Wednesday, February 10th at 18:00 UTC
  • Know Your MIP #05: Term Lending Module

Community Events

• Feb 4: ETHDenver 2021
• Feb 10: Canaccord Digital Assets Virtual Symposium

Reference Links

Discuss and debate Maker governance in the Maker Chat

Propose technical changes, poll, and vote in the Governance Portal

Learn more about the Maker protocol in our Documentation

Check our Governance Tools Resource for links to system status, Dai stability, collateral/liquidations, protocol analytics, auctions, and some of the history of governance.

Have Feedback?

We value your input! Please reply to this post, take our survey, or join us in the Community-Development channel to let us know what you want to see.

Disclaimer: This update is assembled by a group of contributing members in the MakerDAO community. This does and should not serve as financial advice or an inducement to vote in any specific way. This update is purely for informative and for communications purposes only.