# Risk Parameter Updates 2021-12-29
AI summary
This proposal, authored by Paul Lei, Jonathan Reem, Nick Cannon, and Watson Fu, suggests adjusting nine risk parameters across seven different assets on Aave V2. These adjustments include changes to the Loan-to-Value (LTV) ratio, Liquidation Threshold, and Liquidation Bonus. The goal is to align with the community-chosen 'Moderate risk level' and are part of Gauntlet's regular recommendations to maintain the protocol's overall risk tolerance.
If passed, these changes will subtly alter the risk profiles of specific assets on Aave V2, potentially making some assets slightly less attractive as collateral due to decreased liquidation bonuses. This benefits the overall protocol by maintaining a balanced risk posture, but individual users holding the affected assets might see minor changes in their borrowing capacity or liquidation risk.
Voting results
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Risk Parameter Updates 2021-12-29
AIP-54
Author(s): Paul Lei, Jonathan Reem, Nick Cannon, Watson Fu
Simple Summary
A proposal to adjust nine (9) total risk parameters across seven (7) Aave V2 assets including LTV, Liquidation Threshold, and Liquidation Bonus.
Abstract
This proposal is a batch update of risk parameters to align with the the Moderate risk level chosen by the Aave community. These parameter updates are a continuation of Gauntlet's regular parameter recommendations.