Instadapp

Summary

This proposal helps to update the USDC and USDT interest rate curves and also updates the rewards contract to maintain continuous distribution of rewards for Lending USDC & USDT on Fluid on Ethereum Mainnet.

The previous proposal IGP#50 was canceled and the same proposal is being reinitiated to include the start of the USDC/USDT rewards with execution.

Code Changes

Boost the Rewards for USDC and USDT Lending Markets:

• fUSDC: 300,000 USDC
  • Updated fUSDC reward contract: 0x1E80FFf32BD4b6304EAEc2e72832CCdBe85179Aa
• fUSDT: 300,000 USDT
  • Updated fUSDT reward contract: 0x1E80FFf32BD4b6304EAEc2e72832CCdBe85179Aa

USDC & Rate Curve Adjustment on Liquidity Layer

• New USDC Rate Curve:

  • Utilization 0%: Rate 0%
  • Utilization 85%: Rate 7%
  • Utilization 93%: Rate 10%
  • Utilization 100%: Rate 33%

• New USDT Rate Curve:

  • Utilization 0%: Rate 0%
  • Utilization 85%: Rate 7%
  • Utilization 93%: Rate 10%
  • Utilization 100%: Rate 33%

Description

This proposal aims to topup the rewards on fUSDC and fUSDT by 300k each in order to enhance the yields with continuous distribution of rewards for the fToken holders. The interest rate parameters for USDC & USDT have been caliberated as seen above to provide competitive rates in the market.

Conclusion

The updates on rewards for fUSDC and fUSDT and the overall readjustment of the interest rate curves for USDC and USDT helps to optimize market efficiency and offer competitive rates based on the current market.