SCCP 44: Drop EtherCollateral fees to zero Source

AuthorClinton Ennis
StatusImplemented
Created2020-09-01

Simple Summary

Drop EtherCollateral fees to zero to allow sETH loans to be closed during the trial and incentise ETH holders to take loans.

Abstract

The changes proposed are listed below:

  1. EtherCollateral.setInterestRate: 0
  2. EtherCollateral.setIssueFeeRate: 0

Motivation

With the current demand of sUSD it is keeping sUSD above the $1 peg, see sUSD Chart. Any sUSD deposits into the Depot are quickly arbed. EtherCollateral Depends on sUSD being available in the Depot to be able to close sETH loans as when a loan creators closes their sETH loan their sETH is burnt to unstake their ETH and a portion of their ETH is used to buy sUSD to send to the feepool as revenue for SNX holders.

As this is a light version of EtherCollateral trial the next version will not require the Depot as a dependancy for sUSD purchases and will integate buying on market.

Copyright and related rights waived via CC0.