The Aave V2 community has been actively engaged in discussions about market risk, led by Inkyamze from Gauntlet. The community has been kept informed through monthly posts, detailing changes to various parameters for a range of assets. Two significant proposals were put to vote, namely the ARC: Liquidation Bonus Updates and the LTV and Liquidation Threshold Levels. Both proposals were passed, with the former receiving 10.66k AAVE votes in favor and the latter seeing the Moderate level receiving the majority of votes.

In addition to these proposals, two AIPs were also passed: AIP-34: Liquidation Bonus Updates and AIP-36: LTV and Liquidation Threshold Updates to Moderate Levels. These AIPs received overwhelming support from the community, with both receiving hundreds of thousands of votes in favor and negligible votes against.

Inkyamze also shared insights into the Aave community's preferences and perceptions, which have been instrumental in shaping Gauntlet's proposals. These include supporting borrow caps, especially with the addition of new assets like FRAX and potentially FEI to V2, and supporting asset reserve factors to sustain the DAO and expand Gauntlet’s impact on protocol growth. Gauntlet aims to publish an ARC for the community by November.

The Aave Risk Dashboard, a tool providing live market data and simulation statistics, is currently in testing and on track for release. This active participation and the successful passing of proposals and AIPs demonstrate the community's commitment to managing market risk and shaping the future of the Aave V2 protocol.