[GIP-237] Increase Max Debt in wstETH Correlated Tier 1 Credit Manager
AI summary
This proposal for Gearbox DAO aims to increase the maximum debt limit for the wstETH Correlated Tier 1 Credit Manager to 5000 wstETH. This change is driven by high demand from users borrowing large amounts of wstETH, a type of wrapped staked Ether. To achieve this, the proposal also reduces the 'Max Enabled Tokens per credit account' to 1, which means users can only use one type of collateral in this specific credit manager. Currently, rstETH is the only collateral available in this pool, so this change is not expected to significantly impact users.
If passed, users will be able to borrow significantly more wstETH, up to 5000 wstETH, from this specific credit manager, benefiting those with high borrowing demand. The change to 'Max Enabled Tokens' is unlikely to affect current users as only one collateral type is available. The DAO benefits from increased utilization of its wstETH pool.
Voting results
🐳 Whale votes
0 votes > 5% VPFull proposal
Author
desnake
Summary
Existing proposal asks DAO approval to raise max debt limit of Tier 1 CM. Due to technical restrictions, max amount of tokens that can be used as collateral per 1 CA have to be lowered. wstETH pool and rstETH leveraged strategy has attracted significant demand with high average borrowed amount (>94% of borrowed funds are utilized by accounts with debt > 50 wstETH). Moreover, there is still unmatched demand from users willing to borrow more than 1k wstETH per 1 Credit Account.
Specification
Min and Max debt limits can't be set arbitrary. The following relation mus…