Asset Migration From Core Pool to Isolated E-Mode

Venus Governance Venus - Governance Proposals
1

We would like to propose the migration of certain assets from the Venus core pool to isolated e-mode pools on Venus, and pausing TUSD in the core pool.

Isolated e-mode is a function of the existing e-mode feature on the Venus core pool that allows riskier assets to be collateralised and, in some cases, borrowed – taking advantage of the liquidity in the core pool whilst limiting the risk of having these assets listed in the core pool.

The assets being proposed to be listed were selected based on the project, liquidity, utilisation rate, value to the protocol, and price volatility of the asset.

After migration, the Isolated E-Mode group will consist of the Isolated Assets as well as USDT and USDC. Asset parameters including LTV, LT, supply cap, borrow cap, collateral cap, borrowable status, collateral status, and IRM will remain unchanged.

Please find details of assets we propose to be migrated to Isolated E-Mode on Venus in the table below.

Asset Reason for migration Supply / Borrow on Venus Utilisation rate
LINK
  • Asset volatility
  • Minimal revenue to protocol
 2.85 M / 109.75 k 3.85%
UNI
  • Low utilisation
 11 M / 103.74 k 0.94%
AAVE
  • Low supply & borrow
 878.84 k / 138.52 k 15.76%
DOGE
  • Low utilisation
  • Asset volatility
  • Minimal revenue to protocol
 12.18 M / 121.13 k 0.99%
BCH
  • Low supply & borrow
 1.06 M / 213.39 k 20.13%
TWT
  • Low supply & borrow
  • Asset volatility
  • Minimal revenue to protocol
 2.63 M / 10.77 k 0.41%
ADA
  • Low supply & borrow
  • Asset volatility
  • Minimal revenue to protocol
 6.51 M / 181.4 k 2.79%
LTC
  • Low supply & borrow
  • Asset volatility
  • Minimal revenue to protocol
 5.6 M / 123.63 k 2.21%
FIL
  • Low supply & borrow
 1.03 M / 47.8 k 4.64%
MATIC
  • Low supply & borrow
 125.15 k / 9.96 k 7.96%
TRX
  • Low supply & borrow
  • Asset volatility
  • Minimal revenue to protocol
 1.13 M / 188.38 k 16.67%
DOT
  • Low supply & borrow
  • Asset volatility
  • Minimal revenue to protocol
 1.21 M / 356.5 k 29.46%
THE
  • Low supply & borrow
  • Asset volatility
  • Minimal revenue to protocol
 2.47 M / 671.89 k 27.20%

Migration for the above listed assets will be carried out in two phases.

Phase 1: Buffer phase

Assets will exist in both the core pool and in the Isolated E-Mode group simultaneously. Users may choose to use the assets in either mode, and existing positions in the Core Pool will not be affected.

Any further announcements will be promptly communicated via X and Telegram channels.

Phase 2: Final switch phase

Assets in Isolated E-Mode will no longer be usable in the Core Pool. Users must explicitly enable Isolated E-Mode to set as collateral or borrow these assets, and are limited to the assets listed in the Isolated E-Mode group. This will consist of the assets listed in the table above, and USDT and USDC. Existing positions in the core pool will remain unaffected.

Additionally, we would like to propose pausing TUSD in the core pool during the final switch phase, without migrating to an Isolated E-Mode group. Due to there being low supply and borrow (32k and 25.73k respectively), we propose pausing TUSD in the core pool.

We invite all community members to participate in the discussion.

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