Make USDT a collateral for Aave V3 ETH Pool
title: Make USDT a collateral for Aave V3 ETH Pool author: Marc Zeller (@marczeller - Aave Chan Initiative) discussions: https://governance.aave.com/t/arfc-usdt-risk-parameters-update-aave-v3-eth-pool/13571
Simple Summary
This ARFC proposes an update to the risk parameters for USDT in the Aave ETH V3 pool, enabling it as collateral.
Motivation
This proposal aims to unlock the potential of USDT as collateral within the Aave ETH V3 pool. By aligning the risk parameters of USDT with those of USDC, we anticipate an increase in borrowing power for users. This change is expected to stimulate borrowing volume on Aave, thereby contributing to the protocol’s revenue. The activation of collateral power for USDT is a strategic move towards creating a more dynamic, efficient, and profitable liquidity environment within the Aave ETH V3 pool.
Specification
Ticker: USDT
Contract Address: 0xdAC17F958D2ee523a2206206994597C13D831ec7`
new Risk Parameters
| Parameter | Value |
|---|---|
| Loan to Value | 74% |
| Liquidation threshold | 76% |
| Liquidation bonus | 4.5% |
| Liquidation Protocol Fee | 10 % |
References
- Implementation: Ethereum
- Tests: Ethereum
- Snapshot
- Discussion
Copyright
Copyright and related rights waived via CC0.
| Voter | Cast Power | Vote & Rationale |
|---|---|---|
aavechan.eth | 242,872 | YAE |
 FranklinDAO (Prev. Penn Blockchain) | 109,347 | YAE |
 lucasvo.eth | 106,425 | YAE |
 michiganblockchain.eth | 82,190 | YAE |
 hkustblockchain.eth | 51,910 | YAE |
VOTE POWER
Proposal Status
- Wed July 12 2023, 03:23 pmVoting Period Starts
- Sat July 15 2023, 08:14 amEnd Voting Period
- Sat July 15 2023, 08:15 amQueue Proposal
- Tue July 18 2023, 09:17 pmExecute Proposal
Current Results
1-YAE
654,100.1
2-NAY
N/A Tokens