Overview
This proposal advocates for augmenting the supply and borrow caps for slisBNB. The rationale behind this recommendation stems from the airdrop incentives associated with interacting with and holding the native asset, which will result in increased demand. Moreover, liquidity for slisBNB has demonstrated improvement over recent months. The recommendations provided below are formulated utilizing Chaos’ supply cap methodology and have been informed by analyzing user positions for each asset.
Analysis
slisBNB
slisBNB has experienced rapid and consistent growth over the past few months, reaching a TVL of $134M.
Examination of user positions reveals minimal demand for this market currently.
However, this situation will likely change starting March 5th, due to the native token airdrop allocation for prospective users of slisBNB, particularly in “Quest Categories” 3, 4, and 7.
Additionally, given the current slisBNB on-chain liquidity relative to the existing supply cap of 3k, we propose doubling the supply cap.
Borrow Cap
Concurrently, in anticipation of the expected increase in demand, we recommend doubling the borrow caps to facilitate additional user borrowing activity.
Recommendation
| Current Supply Cap | Recommended Supply Cap | Current Supply Cap | Recommended Supply Cap | |
|---|---|---|---|---|
| slisBNB | 3,000 | 6,000 | 800 | 1,600 |
