Both ETH-A and ETH-B are heavily used and we are already facing the dilemma of trading-off risk VS business growth. Both ETH-A and ETH-B are in a spot where increasing the DC is questionable, as the protocol might end up with losses in case of another wave of liquidations.
Still, we need to anticipate that DAI is popular and people want to leverage their ETH.
@Primoz came up with the idea of creating a new vault-type for ETH with a lower LR, which will highly reduce the risk of the protocol losing money on liquidations, while on the other hand offering lower SF for people who want to stay heavily overcollateralized.
This signal is about finding out if the community wants the risk team to come up with a proposal for a ETH-based vault type with a higher LR and a lower SF.
- more DAI in circulation
- another hopefully valuable addition to our portfolio for risk-averse people willing to mint DAI
- less risky for the protocol than ETH-A
- some work for the smart contracts team, as this is not only configuration
Poll will run until January 28th and depending on the result will move on-chain assuming the outcome of the poll deems it necessary. If the domain teams feel this should run shorter so it can be implemented earlier, I will update here accordingly.