SCCP-352: Increase Issuance Ratios for LP Assets on Arbitrum
| Author | Matt |
|---|---|
| Status | Implemented |
| Type | Governance |
| Network | Arbitrum |
| Implementor | TBD |
| Release | TBD |
| Proposal | Loading status... |
| Created | 2024-09-17 |
Simple Summary
This SCCP proposes to increase demand for the USDx Stablecoin on Arbitrum by increasing issuance ratios to 1000% for all LP assets.
Motivation
The primary motivation for this SCCP is to increase demand for USDx on Arbitrum, ensuring that users can enter and exit Perps V3 on Arbitrum. Currently, there is a large outstanding supply (due to low issuance ratios and 0% interest) without corresponding demand, as Perps V3 hasn't launched yet.
Once demand increases, utilizing existing stable wrappers will provide further support for the USDx peg when demand outstrips supply.
Note: Increasing issuance ratios does not affect liquidation risk for existing borrowers. Liquidation ratios will remain exactly the same.
Copyright
Copyright and related rights waived via CC0.