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DeFi Protocol Governance Report | January 2022 | Week 1

Compound Looks to Move Payments to Sablier, Rari Capital Whitelists Various Fuse Pools, and More!
by Mattison Asher, Laurence SmithJanuary 7, 2022
Governance JAN2022 Week 1
Compund logo

Compound

Proposal: Risk Parameter Updates for ETH

Created: December 11th, 2021

Passed: No, failed on January 3rd

  • 198,427 For
  • 0 Against

What does it do: Set cETH collateral factor to 82.5%

Why: This proposal is a batch update of risk parameters to align with the Moderate risk level chosen by the Compound community. These parameter updates are the sixth of Gauntlet’s regular parameter recommendations as part of Dynamic Risk Parameters.

Takeaway: This set of parameter updates seeks to level set assets to a Moderate risk level of the protocol while making risk trade-offs between specific assets. Note that some are different from the original risk level consensus check as market conditions have changed.

Proposal: Migrate Contributor Streams to Sablier

Created: January 3rd, 2022

Passed: No yet

  • 70,015 For
  • 0 Against

What does it do: Transfers all existing contributor streaming payments, which are currently indefinite, over to Sablier for one year terms from the start date

Why: Sablier allows for an easy streaming payment service for DAOs. Moving to Sablier will allow DAOs to pay their contributors more efficiently.

Takeaway: Compound looks to utilize Sablier as their payments solution.

aave logo

Aave

Proposal: Risk Parameter Updates 2021-12-29

Created: January 6th, 2022

Passed: Not yet

  • 110,481.349 For
  • 0 Against

What does it do: Adjusts nine (9) total risk parameters across seven (7) Aave V2 assets including LTV, Liquidation Threshold, and Liquidation Bonus.

table 1

Why: Gauntlet’s risk model tells the protocols to make these switches.

Takeaway: I would say that Gauntlet is now a critical piece of infrastructure to both Compound and Aave. 

rari capital logo

Rari Capital

Proposal: Treasury Request: Development Wallet

Created: January 7th, 2022

Passed: Not yet,

  • 0 RGT For
  • 0 Against

What does it do: Replenishes the development wallet using $100,000 worth of fees from Fuse to pay gas costs for the Arbitrum deployment and ongoing protocol upgrades.

Why: The development wallet’s Ethereum balance is running low and needs funds to maintain Rari’s fast shipping schedule.

Takeaway: Fuse fees will be used to ensure that Rari is able to stay on the cutting edge through the delivery of new features, more specifically, for deploying Fuse on Arbitrum.

On-Chain Proposal: Whitelist ICHI DAO

Created: January 4th, 2022

Passed: Yes,

  • 756.69 RGT For,
  • 0 Against

What does it do: Whitelists ICHI DAO’s Treasury (Gnosis Safe) as a pool creator.

Why: By whitelisting ICHI DAO as a pool creator it will enable the pool to be Verified. ICHI DAO’s multisig controls the ICHI farm contracts and Olympus LP contract, which will be Verified as a result. Additionally, ICHI Pool is the first lending pool that supports ICHI assets and oneTokens and the move opens up the possibility of a future Rari integration with ICHI’s website.

Takeaway: ICHI DAO are now Verified and will begin spreading awareness of the first lending platform to support all ICHI tokens.

On-Chain Proposal: Whitelist B.Protocol DAO as a Fuse Pool Creator

Created: December 30th, 2021

Passed: Yes,

  • 1.02k RGT For,
  • 0 Against

What does it do: Whitelists the B.Protocol DAO multisig as a B.Protocol pool creator, which will enable the multisig to create new verified backstopped pools.

Why: B.Protocol is designed to act as a backstop liquidity protocol, democratising the liquidation systems in DeFi so as to provide higher capital efficeincy and better security for both lending platforms and their users. By integrating B.Protocol with Rari Capital over Fuse it will enable yield bearing tokens to be backstopped by B.Protocol. In turn, this will provide a stable liquidation system, including for less liquid assets.

Takeaway: B.Protocol is now a pool creator. We see this move being beneficial for Rari, new platforms listed by B.Protocol and their users as creates a new kind of pool’s class on Fuse with increased capital efficiency and better security. This could bring in new users and usability for Rari Capital as well.

Proposal: Grant funding for mutual growth in GameFi and Metaverse

Created: December 24th, 2021

Passed: Yes,

  • 7.98k RGT For,
  • 465.47 RGT Against
  • 5.04 RGT Abstain

What does it do: Proposes a partnership between GameFi Corner, a newsletter, and Rari Capital. Rari will provide sponsorship to the newsletter and in return will receive advertising space and extensive research.

Why: GameFi Corner are looking to grow (they currently only have 200 organic subscribers) and Rari Capital are looking to leverage their expertise, in addition to some additional marketing.

Takeaway: Rari Capital are now sponsors of GameFi Corner. 

no protocol updates
  • Uniswap
  • Yearn Finance
  • SushiSwap
  • MakerDAO

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