[ARFC] Reduction of Reserve Factor and Slope2 for Stablecoin Markets on Aave V2

[ARFC] Reduction of Reserve Factor and Slope2 for Stablecoin Markets on Aave V2

[ARFC] Reduction of Reserve Factor and Slope2 for Stablecoin Markets on Aave V2

Dec 3, 2024

This is an archive of our post on Aave governance forum. Read the full thread here.

We support this proposal. It strikes a good balance between maintaining a controlled V2 deprecation while addressing the current market inefficiencies caused by recent borrowing demand surges. Thank you, @ChaosLabs, for providing detailed analysis and analytics demonstrating how these changes are expected to improve rate alignment and market stability.