Migration from v2 to v3 is active - within a week about 50% of liquidity has already transferred to v3. Time to add more options for Credit Account users. The purpose of this proposal is to add new assets in v3, as well as change some configurations in v2 and v3.

Specification

Enabling Minimal Viable Leverage Farming

In v3, some farms are already available - their goal is to make boosted trading strategies possible. For example, you can go long ETH and use Idle liquidity to deposit into farms. Or you can short ETH and put your stables into Yearn or Maker’s sDAI. Let’s give now options for delta-neutral farmers:

WETH pool

Token	Quota Limit	Liquidation Threshold	Min quota rate, %	Max quota rate, %
yvWETH	15000 ETH	0.9	0.5%	5%

USDC pool

Token	Quota Limit	Liquidation Threshold	Min quota rate, %	Max quota rate, %
sDAI	30M USDC	0.9	0.5%	5%
yvUSDC	4M USDC	0.9	0.5%	5%
yvDAI	7M USDC	0.9	0.5%	5%

1. This assets should be considered as Tier-1 assets and added to Tier-1 Credit Managers
2. Quota fees should be set as 0 for all these assets.

To align parameters it is proposed to set Quote fee=0 for yvWBTC in Tier-1 WBTC Credit Manager (approved in GIP-81) and max Quota Rate for stETH in Tier-1 WETH Credit Manager to 3.5%

Adjusting current v3 parameters

Quota Limits

It is proposed to develop an algorithmic approach to determine Quota Limits:

• min(tvl * 0.3, 30M) for farms
• min(3*onchainLiquidity, 30M) for trading assets

This approach will simplify the determination of limits and at the same time make the system more transparent.

As result we propose to change current limits for some assets:

Token	Limit in $	WBTC* pool	WETH* pool	USDC pool
MKR	3M	75	1500	3M
LDO	2.5M	62.5	1250	2.5M
FXS	2M	50	1000	2M
APE	0.5M	12.5	250	0.5M
yvWETH	30M	750	15000	30M
yvWBTC	1M	25	500	1M
yvUSDC	4M**	100**	2000	4M
sDAI	30M	750	15000	30M

* limits set in underlying asset, so to get parameter value divider 2000 and 40000 is used for ETH and WBTC

** yvUSDC is supposed to be added to WBTC pool (Tier-1) to enable boosted trading strategies, quota range for it 0.01%-15%.

Credit Manager limits

Now the Credit Manager’s limits are set to 3M$ (see GIP-81). As soon as the 2M$ limit will be reached for Tier-1 Credit Managers it is proposed to increase the limit for the corresponding Credit Manager by an additional 2M$.

Disabling v2 Credit Managers

With a decrease in mining liquidity in v2 in GIP-85, liquidity will migrate to v3. Accordingly, there is no need to keep the functionality open, which will soon be fully available in v3. Therefore, it is proposed to stop new borrowings in v2’s Credit Managers

Voting

Simple Approve/Reject voting