Maker Relay Ep 49

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Votes

Executive Votes

Parameter Changes, Oracle Whitelisting, Other Changes
If this executive proposal passes, the following changes will occur within the Maker Protocol:

  • The PSM-USDC-A Debt Ceiling will be increased from 3 Billion DAI to 4 Billion DAI.
  • Multiple changes to Stability Fees, Debt Ceilings, Target Available Debt, and Ceiling Increase Cooldowns will be made to various vault types as described in the Proposal Details section.
  • Auction Parameters for ETH Vault Types will be updated as listed below in the Proposal Details section.
  • The UNIV2DAIUSDC-A Vault Type will have its Liquidation Ratio lowered from 105% to 102% and Stability Fee lowered from 1.0% to 0.5%, with liquidations remaining off.

Governance Polls

Poll Name Vote Discussion Type More Info
Add SLP-YFI-ETH as a new Vault Type Vote Discussion Onboarding Risk Core Unit Evaluation, Protocol Engineering Core Unit Evaluation, Oracles Team Evaluation
Add SLP-AAVE-ETH as a new Vault Type Vote Discussion Onboarding Risk Core Unit Evaluation, Protocol Engineering Core Unit Evaluation, Oracles Team Evaluation
Add SLP-ETH-LINK as a new Vault Type Vote Discussion Onboarding Risk Core Unit Evaluation, Protocol Engineering Core Unit Evaluation, Oracles Team Evaluation
Increase the Dust Parameter Vote Discussion Parameters From 5,000 DAI to 10,000 DAI for most vault types
Increase the Dust Parameter for ETH-B Vault Type Vote Discussion Parameters From 15,000 DAI to 30,000 DAI
DssVest (MIP54) Vote Discussion MIP Ratifiation
Oracles Core Unit Subproposal Set, ORA-001 Vote Discussion MIP Ratifiation
GovAlpha Facilitator Onboarding (MIP41c4-SP12) Vote Discussion MIP Ratifiation @prose11
Modify Core Unit Budget, RWF-001 (MIP40c3-SP11) Vote Discussion MIP Ratifiation
Modify Core Unit Budget, RISK-001 (MIP40c3-SP13) Vote Discussion MIP Ratifiation
GovAlpha Core Unit Budget, GOV-001 (MIP40c3-SP11) Vote Discussion MIP Ratifiation
Sustainable Ecosystem Scaling Core Unit MKR Budget, SES-001 (MIP40c3-SP17) Vote Discussion MIP Ratifiation

Active Signal Requests

Adjusting ttl on flap-auctions
Signaling for whether or not we should decrease the ttl, observe the effects for a while, and then maybe even reduce the beg later on.

Offboard unprofitable collateral types
Signaling for community support on removing the following collateral types based on their profitability; USDT-A, UNIV2-AAVEETH-A, KNC-A, UNIV2-LINKETH-A, COMP-A, BAL-A, LRC-A, ZRX-A, BAT-A, MANA-A, AAVE-A

Adjust PSM-USDC-A for “whatever it takes to keep the peg”
Signaling for changing PSM-USDC-A to; activate DC-IAM, set a really high line on it with corresponding gap and ttl defined by @Risk-Core-Unit

Last Week

June Core Unit Budget Distributions, Other Changes
Passed on Jun 7, 2021, 18:31 UTC.
Executed on Jun 9, 2021, 18:32 UTC.

  • Real-World Finance (RWF-001), Risk (RISK-001), GovAlpha (GOV-001), Protocol Engineering (PE-001), Growth (GRO-001), Content Production (MKT-001), and Sustainable Ecosystem Scaling (SES-001) all received their monthly budgets.
  • USDC-A, USDC-B, TUSD-A , PAXUSD-A, GUSD-A, PSM-USDC-A, UNIV2DAIUSDC-A, USDT-A vault types have been added to the Liquidations 2.0 framework, though liquidations are disabled.
  • The PSM-USDC-A Fee Out (tout) decreased from 0.04% to 0%.
  • The Global Debt Ceiling has been increased by 500 million DAI.

Updates

MIPs

Weekly MIPS Update #40

Proposals in the Request for Comments Stage

MIPs

Subproposals

The Maker Improvement Proposal (MIPs) Framework provides a process for Maker governance to change the Protocol as needed. Learn more about Maker Improvement Proposals

GovAlpha

GovAlpha Weekly Update - 2021-06-10

  • Gov-alpha Multisig went live and made its first distribution.
  • LongForWisdom is back after a well deserved holiday
  • Meeting with Talent-CU to onboard more gov-alpha team members.

Protocol Engineering

  • Centrifuge assets might be pushed back a bit to consider Debt Ceiling sizes following some audits.
  • DSSProxy actions received changes to support Sushi LP tokens.
  • Continuing to work on Sushi Adapter, waiting on MasterChef v2.
  • Tidying up DSSVest, the module for distributing MKR to teams.
  • D3M Discussions ongoing with Aave, starting to think about the different cases around that, including Emergency Shutdown.
  • Vote Delegation is completed, currently passing RPC tests, with an audit completed by ABDK.
  • DSS-Flash-Mint module is getting code finalized.
  • Reference Keeper Bot published, we intend to keep it up to date.
  • Admin stuff; We transferred audits and tooling agreements from the Foundation to the DAO.
  • We’ve been evaluating stETH and its implications.
  • Lots of L2 work is happening. We’ve been talking to every L2 provider in the space about what it would look like for MakerDAO to be there.

Oracles

  • Oracle Core Unit MIPs live in the June Governance Cycle
  • Looking to move ahead with a proposal to give the Oracles Core Unit special permissions around Oracle whitelisting.
  • Lots of talks around staked ETH. stETH is hard to make a reliable Oracle for since there is only liquidity in the Curve pool.
  • We recommend that UNIV2DAIUSDC CR shouldn’t be set lower than 102%
  • We are leaving Liquidations off on UNIV2DAIUSDC.

Risk

  • We are finishing the last two evaluations for SUSHI.
  • Next potential collateral onboardings are being discussed; we will be focused on stETH, D3M implementation, and Polygon collateral.
  • D3M risk evaluation will require more attention than regular collateral onboarding.
  • Adding new metrics to our risk dashboard. Auctions metrics are coming soon!
  • We are deploying a simulator to simulate losses for Maker loans based on parameters picked.

Real-World Finance

Growth

Growth CU Weekly Update: June 4 - June 10

  • Miami had many meetings; Aave Pro to understand different DAI pools; Celsius, too for institutional vaults and their token; it could work with D3M implementation.

Sustainable Ecosystem Scaling

  • Project Dogfood moving ahead, the project that helps other Core Units get set up.
  • Discussing three potential future Core Units.
  • SES portal coming soon!
  • Incubation Program Updates
    • dTalent Core Unit is live.
    • DUX Core Unit on its way.

Content

Current Events

Liquidation Ratio Adjustment to UNIV2DAIUSDC-A

The most recent executive features some adjustments to the Uniswap DAI<>USDC LP Token vault type, including an adjustment from the Oracles Domain Team. While the 101% Liquidation option won out in this poll, the executive vote features a drop to 102%. This is due to some concerns over how the price oracle for Uniswap LP Tokens estimates fee inflow, with Nik Kunkel of the Oracles team explaining on the risks on last Thursday’s Governance and Risk Call.

LongForWisdom Returns, Protocol Still Standing

Governance Facilitator @LongForWisdom is back from his one week holiday. In his absence, @prose11 was put in charge of Governance happenings and managed not to break the protocol entirely. Despite many contentious conversations, a couple of urgent items for the executive, and a slew of important meetings, Prose is still standing. GovAlpha has taken a big step toward decentralization.

NewSilver Changes and Process Under Question

Sebastien Derivaux, facilitator of the RWF Core Unit, identified a discrepancy between the Risk dashboard and the Risk Assessment. The LTV max was written as 80% but the executive document at the time showed 85%; Since then, the executive document was updated to 90% max LTV; The actual Vault remained at 72% LTV. A few community members inquired about how these changes were made and whether adequate notice was given. Greg Di Prisco, the founder of RWA Co., argues against Vault’s where any changes to material parameters can be made without an on-chain vote. Additionally, @PaperImperium inquires about the CFG subsidy that other NewSilver partners get. All parties involved agree to improve oversight and process.

Alternative Marketing Core Unit Proposed

Following the first rejection of the Strategic Marcomms Core Unit, competition is heating up, with the proposal from the AmaZix Marketing Core Unit. @Kathleen and the team have resubmitted a new version of their proposal, removing the controversial $5 million “moonshot fund,” committing to alignment with MKR voters.

Be Mindful, Update to the Monthly Governance Cycle

MKR voters heads up! The monthly governance cycle has officially changed to a more accomodating setup. Instead of three rounds of voting, MIPs and Subproposals will go through individual two-week Ratification Polls. Check out the latest MIPs Update for a view of the updated calendar.

State of the Peg

  • DAI peg is strong, with a peak volume of 500 million on the 8th.

  • A calm mention on the Governance and risk call, but worth mentioning again: we’re above 5 billion DAI. :partying_face:

75 mil in v2

  • Taking a look at uniswap v2, after the LP token deep dive Thursday, there’s 75 million DAI in Uniswap v2. So, if you’ve got HOPR to exchange, they’ve got you covered? The biggest pair by far is ETH<>DAI.

Shout out to @sebventures for the awesome “where is my DAI queries” on Dune. Take the dash for a spin.

  • PSM USDC 2.4 billion
    • ETH-A 1.6 billion
    • WBTC 263 million
    • USDC-A 238 million
    • ETH-C 227 million
    • PAX 67 million
    • ETH-B 47 million
    • LINK 41 million
    • YFI 54 million
    • TUSD 26 million
    • UniV2DaiEth 19 million
    • UniV2UsdcEth 16 million
    • UniV2UniEth 7.7 million
    • UNI 7.6 million
    • UniV2WBTCEth 6 million
    • UniV2DaiUSDC 3.5 million
    • renBTC 2.8 million
    • NSDROP 2.5 Million
    • AAVE 2.4 million
    • MANA 1.7 million
    • BAT 1.6 million
    • ZRX 1.5 million
    • LRC 776K
  • Other vaults below 500K (GUSD, KNC, USDT, UniV2LINKETH UniV2AAVEETH, UniV2WbtcDai, UniV2DaiUsdt, UniV2EthUsdt, COMP) at 714K

  • Liquidation Walls at 20% downturn. YFI tops the list because of its largest vault.

  • That largest YFI vault tops out at 210% collateralized. Since the price jumps the most on hourly candles and the vault is actively managed, we can guess that it isn’t the most significant risk.

ETH-B

  • ETH-B vaults collateralization ratios are also dominated by a large position.

  • Yet, like YFI’s whale, it’s actively protected. Like, literally every day.

  • Despite declining WBTC debt, there is a more recent uptick.

  • The riskiest bucket corresponds to the third-largest vault with 1748 WBTC.

WBTC Vaults

  • And within WBTC, the top 10 vaults hold 74% of the share.

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

Community

Articles

Maker Forum Deep Dai-ve

Check out the latest Forum at a Glance

Tweet of the Week

Meetings and Events

This Week’s Calls

Core Unit Office Hours

  • Join Link | GovAlpha - Mondays 17:00 UTC
  • Join Link | Protocol Engineering - Tuesdays 15:00 UTC
  • Join Link | Content Production - Wednesdays 16:00 UTC
  • Join Link | Growth - Wednesdays 17:00 UTC
  • Join Link | Sustainable Ecosystem Scaling - Tuesdays 15:30 UTC

Governance & Risk

Sustainable Ecosystem Scaling Weekly Update

Last Week’s Call Recordings

Governance and Risk Call #145
Video | Forum Post

LexMaker 1: Dai Foundation & Maker IP
Video | Forum Post

Core Unit Launch Pod Sessions #12: Strategic MarComms Core Unit (CPM-001)
Video | Forum Post

[AMA] - 6s Capital - RWA Implementation
Two sessions with full videos posts on the forum

Useful Links

Forum and Maker Chat
Discuss and debate MakerDAO.

Public Calander
Subscribe for all public calls, votes, and other reminders.

Participation Tools
Library of useful links for Stakeholders; Protocol analytics, Dai analytics, collateral & liquidation metrics, governance history, and auctions data.

Governance Portal
Voting dashboard for MKR voters.

MIPs Portal
MIPs Dashboard for everyone.

Learning Portal and Technical Documentation Portal
Learn more about the Maker protocol.

Have Feedback?

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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 information and communication purposes only.

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