[ARC] Updated: Gauntlet <> Aave Renewal

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Gauntlet proposed a renewal of its 12-month engagement with Aave for continuous market risk management, aiming to maximize capital efficiency and minimize risk. Despite initial concerns about the pricing structure, the proposal, which includes an updated dashboard, content explaining methodology, and a fixed fee of $2 million, received full community support and passed the Snapshot and on-chain votes.

The discussion revolved around Gauntlet's proposal to renew its 12-month engagement with Aave for continuous market risk management. The proposal, as presented by Pauljlei, aimed to maximize capital efficiency and minimize the risk of insolvency and liquidations. The plan included overhauling the incident response process, assessing the community's risk appetite, and formalizing an asset delisting process. Gauntlet also planned to launch an updated dashboard and create more content to explain its methodology. The payment model was updated to a fixed fee of $2 million for simplicity1.

Gauntlet's Risk Management platform, which quantifies risk, optimizes risk parameters, runs economic stress tests, and calibrates parameters dynamically, was also discussed. The platform uses agent-based simulation models to model tail market events and interactions between different users within DeFi protocols. Gauntlet's roadmap includes continued support for Aave v2 Ethereum, immediate support for new asset listings in all markets, expanded coverage to all markets, and support for Aave v31.

However, MatthewGraham and MarcZeller raised concerns about Gauntlet's pricing structure, suggesting that a fixed USD value pricing model would be more suitable. In response, Pauljlei agreed to move to a fixed price model of $2 million for the year2,3,4. The updated proposal received full support from the community, with the Snapshot vote passing with 811K YAE votes5,6,7,8. The on-chain proposal also passed, marking the continuation of Gauntlet's engagement with Aave9.

Posted a year ago

Last reply a year ago

Summary updated 2 months ago

Last updated 09/12 13:52