Aave

Simple Summary

This AIP proposal presents Aave with the opportunity to onboard LUSD to the Ethereum v3 Liquidity Pool.

Motivation

Supporting stablecoin diversity diversity is part of the Aave-Chan Initiative (ACI) delegate platform.

The ACI does not have any link nor is paid by Liquity or any entity to present this AIP.

The risk parameters provided introduce LUSD as a non-collateral asset.

Supply and borrow caps are suggested for this asset to limit risk exposure, the caps have been proposed by a join collaboration between Gauntlet & Chaos Labs.

Specification

Ticker: LUSD

Contract Address: 0x5f98805A4E8be255a32880FDeC7F6728C6568bA0

Risk Parameter	Value
Isolation Mode	NO
Enable Borrow	YES
Enable Collateral	NO
Loan To Value	N/A
Liquidation Threshold	N/A
Liquidation Bonus	N/A
Reserve Factor	10%
Liquidation Protocol Fee	10%
Borrow Cap	1,210k
Supply Cap	3,000K
Debt Ceiling	N/A
Base	0%
Slope1	4%
Uoptimal	80%
Slope2	87%

The proposal payload uses the GenericListingEngine to perform a new asset listing with the following parameters:

IGenericV3ListingEngine.Listing({
      asset: LUSD,
      assetSymbol: 'LUSD',
      priceFeed: LUSD_USD_FEED,
      rateStrategy: 0x349684Da30f8c9Affeaf21AfAB3a1Ad51f5d95A3,
      enabledToBorrow: true,
      stableRateModeEnabled: false,
      borrowableInIsolation: false,
      withSiloedBorrowing: false,
      flashloanable: true,
      ltv: 0,
      liqThreshold: 0,
      liqBonus: 0,
      reserveFactor: 10_00,
      supplyCap: 3_000_000,
      borrowCap: 1_210_000,
      debtCeiling: 0,
      liqProtocolFee: 10_00,
      eModeCategory: 0
    });

References

A list of relevant links like for this proposal e.g.

• forum discussion
• tests
• proposalCode

Security Considerations

The proposal Payload was reviewed by Bored Ghost Developing.

Deployed Contracts

• AaveV3EthLUSDPayload: ProposalPayload

Copyright

Copyright and related rights waived via CC0.