Instadapp

Summary:
This proposal updates the configuration parameters for the Fluid protocol vaults version 1.2, sets the reward contract for WBTC vaults, claims pending Spark rewards from Lite Vault and moves funds from DAO Treasury to prepare for WBTC rewards.

The new vaults offer various enhancements which improve the vault’s oracle usage and overall security as described in the proposal: Deploy Fluid Vault Upgrades.

Code Changes:

Update Vault Configurations:

ETH/USDC Vault:

• Current:
  • Collateral Factor (C.F.): 85%
  • Liquidation Threshold (L.T.): 90%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 1%
• New:
  • Collateral Factor (C.F.): 87%
  • Liquidation Threshold (L.T.): 92%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 1%

ETH/USDT Vault:

• Current:
  • Collateral Factor (C.F.): 85%
  • Liquidation Threshold (L.T.): 90%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 2%
• New:
  • Collateral Factor (C.F.): 87%
  • Liquidation Threshold (L.T.): 92%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 2%

WSTETH/ETH Vault:

• Current:
  • Collateral Factor (C.F.): 93%
  • Liquidation Threshold (L.T.): 95%
  • Max Liquidation Limit (L.M.L.): 98%
  • Liquidation Penalty (L.P.): 0.1%
• New:
  • Collateral Factor (C.F.): 95%
  • Liquidation Threshold (L.T.): 97%
  • Max Liquidation Limit (L.M.L.): 98%
  • Liquidation Penalty (L.P.): 0.1%

WSTETH/USDC Vault:

• Current:
  • Collateral Factor (C.F.): 80%
  • Liquidation Threshold (L.T.): 86%
  • Max Liquidation Limit (L.M.L.): 92.5%
  • Liquidation Penalty (L.P.): 2.5%
• New:
  • Collateral Factor (C.F.): 82%
  • Liquidation Threshold (L.T.): 88%
  • Max Liquidation Limit (L.M.L.): 92.5%
  • Liquidation Penalty (L.P.): 2.5%

WSTETH/USDT Vault:

• Current:
  • Collateral Factor (C.F.): 80%
  • Liquidation Threshold (L.T.): 86%
  • Max Liquidation Limit (L.M.L.): 92.5%
  • Liquidation Penalty (L.P.): 3%
• New:
  • Collateral Factor (C.F.): 82%
  • Liquidation Threshold (L.T.): 88%
  • Max Liquidation Limit (L.M.L.): 92.5%
  • Liquidation Penalty (L.P.): 3%

WEETH/WSTETH Vault:

• Current:
  • Collateral Factor (C.F.): 93%
  • Liquidation Threshold (L.T.): 95%
  • Max Liquidation Limit (L.M.L.): 96%
  • Liquidation Penalty (L.P.): 1%
• New:
  • Collateral Factor (C.F.): 94%
  • Liquidation Threshold (L.T.): 96%
  • Max Liquidation Limit (L.M.L.): 97%
  • Liquidation Penalty (L.P.): 1%

SUSDE/USDC Vault:

• Current:
  • Collateral Factor (C.F.): 88%
  • Liquidation Threshold (L.T.): 90%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 2%
• New:
  • Collateral Factor (C.F.): 90%
  • Liquidation Threshold (L.T.): 92%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 2%

SUSDE/USDT Vault:

• Current:
  • Collateral Factor (C.F.): 88%
  • Liquidation Threshold (L.T.): 90%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 2%
• New:
  • Collateral Factor (C.F.): 90%
  • Liquidation Threshold (L.T.): 92%
  • Max Liquidation Limit (L.M.L.): 95%
  • Liquidation Penalty (L.P.): 2%

WEETH/USDC Vault:

• Current:
  • Collateral Factor (C.F.): 75%
  • Liquidation Threshold (L.T.): 80%
  • Max Liquidation Limit (L.M.L.): 90%
  • Liquidation Penalty (L.P.): 3%
• New:
  • Collateral Factor (C.F.): 77%
  • Liquidation Threshold (L.T.): 82%
  • Max Liquidation Limit (L.M.L.): 90%
  • Liquidation Penalty (L.P.): 3%

WEETH/USDT Vault:

• Current:
  • Collateral Factor (C.F.): 75%
  • Liquidation Threshold (L.T.): 80%
  • Max Liquidation Limit (L.M.L.): 90%
  • Liquidation Penalty (L.P.): 4%
• New:
  • Collateral Factor (C.F.): 77%
  • Liquidation Threshold (L.T.): 82%
  • Max Liquidation Limit (L.M.L.): 90%
  • Liquidation Penalty (L.P.): 4%

Set Auth for WBTC/USDC Vault:

• Vault Address: 0x6F72895Cf6904489Bcd862c941c3D02a3eE4f03e
  • Auth Address: 0x4605FC1E6A49D92D97179407E823023F06D5aA0e

Set Auth for WBTC/USDT Vault:

• Vault Address: 0x3A0b7c8840D74D39552EF53F586dD8c3d1234C40
  • Auth Address: 0xbA379AfC2829CbF5DeA14B8bc135a820e144456D

Add Claim Module on Lite ETHv2 Vault:

• Claim Module: 0xc10A855055Eb3939FCaA512253Ec3f671C4Ab839
• Dummy Implementation: 0x35E7961BE97ccba901Cf14b73202d58f7a33d46d

Description:
This proposal updates the configuration parameters for the Fluid protocol vaults, the improved vaults will offer better security and better rates. This proposal also sets the WBTC Auth addresses and claims Spark reward tokens for the Lite ETHv2 Vault by adding the Claim Module.

This proposal facilates he USDC and USDT rewards, this proposal will move 1.15 WBTC and 30 stETH from the Instadapp Treasury to the Team’s Avocado Multisig: 0x4F6F977aCDD1177DCD81aB83074855EcB9C2D49e. These funds will be used for Base Stablecoin Rewards and Mainnet WBTC markets. Any and all unused funds will be returned to the Treasury.

Conclusion:
This proposal finalizes the deployment of Vaults by establishing rates and allowing users to transition to the updated vaults. These adjustments ensure that the Fluid protocol stays competitive within the broader market.

Forum Link: Update Vault Configuration v1.2