Aave News: Pegasus Spotlight 🔴_🔴, ETH Amsterdam Hackathon Winners, Risk Update & More
A recap of the Aave ecosystem, April 18th to April 24th
For anyone who left ETH Amsterdam with with fresh Aave swag, featuring: Spotlight 🔦 | Risk 🔎 | Protocol 📰 | Ecosystem 🧉 | Governance ⚖️ | Events 📆 | Hey Anon 👻
Pegasus is now live on Optimism! Get rewarded for using Pegasus’s interest rate perp trading platform. Plus, set yourself up for airdrop szn. Learn more about their rewards program ✨🔴_🔴✨
In case you haven’t seen it, check out the Aave Risk Dashboard by Gauntlet at gov.gauntlet.network/aave. The Gauntlet team is particularly keen on iterating on this dashboard for the community and would love feedback via this Google Form.
For more details on how Gauntlet manages market risk for Aave, please see Gauntlet’s Parameter Recommendation Methodology and Gauntlet’s Model Methodology.
Risk Parameter Updates:
Details can be found in this ARC
A proposal to adjust six (6) total risk parameters across three (3) Aave V2 assets. An on-chain proposal will be put up on Tuesday, 4/26.
This set of parameter updates seeks to maintain the overall risk tolerance of the protocol while making risk trade-offs between specific assets. Gauntlet’s parameter recommendations are driven by an optimization function that balances 3 core metrics: insolvencies, liquidations, and borrow usage. Parameter recommendations seek to optimize for this objective function. Gauntlet’s agent-based simulations use a wide array of varied input data that changes on a daily basis (including but not limited to asset volatility, asset correlation, asset collateral usage, DEX / CEX liquidity, trading volume, expected market impact of trades, and liquidator behavior). These simulations tease out complex relationships between these inputs that cannot be simply expressed as heuristics.
This set of parameter recommendations increases the Liquidation Threshold for UNI while also increasing its Liquidation Bonus. This is an example of a risk trade-off that Gauntlet’s simulation engine optimizes for risk and revenue.
Calling all builders: Check out a masterclass on everything you need to get started with Aave V3 from @Miguelmtzinf & @kartojal, two of the giga brains behind it
What dashboards or tools do you use to keep track of the ecosystem? Check out some of our favourites and share yours!
ETH Amsterdam has wrapped up! Shout out to all the hackers, the Aave bounty winners: Yieldgate, Aavegotchi-TT, zk-maia & FLOAN for winning, people who stopped and said hi at the Aave booth, everyone wearing Aave swag, and the ETH Global team for hosting another awesome event
The proposal to renew AGD for an additional two quarters is live on the governance forum. Comment with any feedback or if you would like to get involved as an Event Manager, Community Manager or as a Reviewer
Risk Parameter Updates 2022-04-22 | Governance discussion | 🗳Voting is active until April 29th
Should five (5) total risk parameters across four (4) Aave V2 assets be updated? | 🗳Voting is active until April 27th
Other discussions from the forum:
Gauntlet Quarterly Risk Review (Q1 2022): Updates and Review
ARC: Add support for sAVAX (BENQI Liquid Staking AVAX Token) on AAVE v3
Certora Prover Workshops - April 27 - 29
HackMoney - May 6 - 27
Permissionless - May 17 - 19
EthCC - July 19 - 22
Hey Anon 👻
Where should the next rAAVE be?