SCCP-150: Wrappr Parameter Changes (L2)

Author
StatusImplemented
TypeGovernance
ImplementorTBD
ReleaseTBD
ProposalLoading status...
Discussions-Tohttps://discord.gg/EWmYsH7X
Created2021-11-18

Simple Summary

This SCCP proposes to implement the following:

  • Decrease cap on DAI wrappr to 0

  • Decrease DAI Wrappr Burn Fee to 0

  • Decrease LUSD minting fee to 0

Abstract

In order to begin the process of unwinding away from the DAI Wrappr, this sccp proposes to decrease the cap on the DAI Wrappr to 0, effectively disabling minting, decrease the burn fee to 0 to allow arbers to burn DAI at the lowest cost possible and decrease the minting fee on the LUSD wrappr to 0 as to facilitate transitioning the external collateral pool from DAI to LUSD.

Motivation

The primary motivation is to improve the censorship resistance of the protocol, by not relying on USDC wrapprers such as DAI in order to leverage up the debt pool with wrappers.

Copyright and related rights waived via CC0.