Gauntlet Interest Rate Optimization - Revenue Increase

Venus - Gauntlet Interest Rate Optimization Impact


In November 2022, Gauntlet launched interest rate optimization as a new feature of our risk management product. Since then, we have been recommending interest rate adjustments to our risk clients, with the goals of mitigating risk and building protocol reserves. This article reviews the adjustments we proposed for Venus in Q1 2023 and the significant impact they produced. Our analysis builds on earlier work by Messari, who observed the impact of interest rate changes in their Q1 Venus report. We conclude that interest rate optimization for BNB on Venus generated the majority of Q1 net revenue and over $2M of additional reserves as of May 2023.

The Gauntlet team is thrilled with this actualized impact! For full details on the Interest Rate Curve Optimization and its impact, please see our latest blog post or tweet. We will continue to service the Venus community and optimize the protocol’s risk parameters as needed. Thank you to the community for your participation thus far.