[GIP-153] Onboard Mellow LRTs
AI summary
This proposal aims to integrate Mellow restaking vaults into the Gearbox protocol, allowing users to deposit specific Liquid Restaking Tokens (LRTs) as collateral. The initial integration will include pzETH, rstETH, steakLRT, and amphrETH, with relatively low caps due to their limited on-chain liquidity. The proposal also specifies the minimum and maximum interest rates, liquidation thresholds, and adds several trading pools to the protocol's trade adapter.
If approved, Gearbox users will gain new options for collateralizing their positions with LRTs, potentially increasing the protocol's total value locked and attracting new users interested in restaking. However, the limited liquidity of these new assets introduces a risk of difficult liquidations, which the proposal attempts to mitigate with low initial caps.
Voting results
🐳 Whale votes
0 votes > 5% VPFull proposal
Author
Chaos Labs
Summary
Chaos Labs has conducted research regarding a potential integration involving Mellow restaking vaults. Note: The following analysis is based exclusively on market risk considerations, deliberately excluding centralization and third-party risk factors. Should the community seek to mitigate exposure to Mellow, it may be prudent to consider the implementation of more conservative supply and borrow caps.
Analysis
What is Mellow? Many of the vault tokens associated with Mellow exhibit limited on-chain liquidity, or lack any liquidity altogether. This…