Tech. Comm. #83
Acala Risk Parameter Change Proposal - May 2023
The following suggestion is proposed to optimize for risk management for Acala.
- Decrease Debt Ceiling of DOT from 50M to 20M
- Decrease Debt Ceiling of LDOT from 5M to 2M
- Decrease Debt Ceiling of LCDOT from 6M to 2M
- Decrease Debt Ceiling of ACA from 6M to 1.5M
Risk parameters are best adjusted according to market conditions to balance insolvencies, liquidations, and capital efficiency. A lower debt ceiling helps mitigate the risk associated with excessive debt exposure and enable the protocol to remain solvent and resilient in volatile market conditions.
Check all members
This vote has been closed.
There are no comments here