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Ava_Labs proposed to double the supply cap of BTC.b on Avalanche V3 to 5,800 BTC.b due to high market demand. Following a successful snapshot vote, the Aave Guardian executed the decision, marking a significant development in response to market demand and commitment to platform safety and efficiency.
The discussion revolved around a proposal by Ava_Labs to increase the supply and borrow caps for BTC.b on Avalanche V3, in response to high market growth and demand. The existing parameters included a loan-to-value of 70.00%, a liquidation threshold of 75.00%, a liquidation penalty of 6.50%, a supply cap of 2,900 BTC.b ($56.6M), and a total supply of 2,270 BTC.b ($44.3M, 78% of the pool at current supply cap). The proposal aimed to double the supply cap to 5,800 BTC.b, with BTC.b being directly minted and redeemed with BTC in a permissionless and non-custodial manner through the Avalanche Bridge. There was also an anticipation of $43M worth of WBTC.e migrating to BTC.b, as it is considered a safer version of the same asset1.
A snapshot vote was initiated to decide on this proposal2. Following a successful approval by the governance on Snapshot, the Aave Guardian executed the decision. This led to the increase of the supply cap of BTC.b on Aave v3 Avalanche to 5,800 BTC.b3. This decision marked a significant development in the discussion, reflecting the community's response to market demand and their commitment to maintaining the safety and efficiency of the platform.
Posted a year ago
Last reply a year ago
Summary updated 2 months ago
Last updated 09/12 13:53