84-aave-arc-risk-parameter-updates-2022-05-26.md

Proposal 84. Aave Arc - Risk Parameter Updates 2022/05/26

Voting link

https://app.aave.com/governance/proposal/?proposalId=84

Governance forum discussion

Only the Aave Arc part of the discussion https://governance.aave.com/t/arc-risk-parameter-updates-for-aave-v2-and-aave-arc-fireblocks-2022-05-26/8299

BGD analysis

Proposal types

🔧 📊 params-update

⛩️ Aave Arc

Context

This proposal is a repetition of proposal 81, on which YES won, but didn't reach enough quorum

This proposal queues on the Arc timelock an update of risk parameters for USDC on Aave Arc.

Proposal creation

Transaction: https://etherscan.io/tx/0xb00c1ff320697c20c78c124426f44d70c1ecf8bd5c59b6fd96d7c8f7d51391a1

- id: 84
- creator: 0x683a4f9915d6216f73d6df50151725036bd26c02
- executor: 0xee56e2b3d491590b5b31738cc34d5232f378a8d5
- targets: [0xace1d11d836cb3f51ef658fd4d353ffb3c301218]
- values: [0]
- signatures: []
- calldatas: [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]
- withDelegatecalls: [false]
- startBlock: 15005807
- endBlock: 15025007
- strategy: 0xb7e383ef9b1e9189fc0f71fb30af8aa14377429e
- ipfsHash: 0x2d900e4177145ded5595790def76a02e744d61a17b70b54501819744ba85d88e

Aave Seatbelt report

https://github.com/bgd-labs/seatbelt-for-ghosts/blob/main/reports/Aave/0xEC568fffba86c094cf06b22134B23074DFE2252c/084.md

Technical analysis

From a technical perspective, we have verified that the calldata submitted as payload of the proposal does the following on Aave Arc, by queueing the action on the ArcTimelock contract:

1. Calls configureReserveAsCollateral() on the Arc Aave Pool Configurator for USDC, to set LTV to 87.5%, Liquidation Threshold to 90% and Liquidation Bonus to 4.5% (not modified).

BGD validations

✅ The code on the proposal payload corresponds to the proposal specification.

✅ Payload encoded via multiple targets and calldatas, no delegatecall

❓ The proposal includes a proper tests suite, checking all necessary post-conditions.

❌ BGD reviewed the payload before the proposal was submitted.

❌ BGD reviewed the procedure followed to submit the proposal.