🔢Parameters
There is an explanation of the following parameters in Model Parameters.
A. Reserve Factor
the fraction of the total Variable Rate Pool deposits established as Liquidity Reserves can't be borrowed and will only be available for withdrawals.
B. Treasury Fee
The treasury fee refers to the percentage of interest rate charges paid by borrowers that the protocol retains for its treasury.
Treasury Fee on OP Mainnet
OP Mainnet Treasury multisig address: https://optimistic.etherscan.io/address/0x23fd464e0b0ee21cedeb929b19cabf9bd5215019
Treasury Fee on Ethereum Mainnet
C. Optimism Mainnet Interest Rate Curves
USDC
=
4.7074e-03
=
3.8577e-02
=
1.200000000
=
0.880000000
=
2.500000000
=
1.250000000
USDC.e
=
4.7074e-03
=
3.8577e-02
=
1.200000000
=
0.880000000
=
2.500000000
=
1.250000000
WETH
=
1.0164e-03
=
1.8718e-02
=
1.300000000
=
0.880000000
=
2.500000000
=
1.100000000
wstETH
=
1.0164e-03
=
1.8718e-02
=
1.300000000
=
0.880000000
=
2.500000000
=
1.100000000
OP
=
3.3634e-02
=
-1.5528e-02
=
1.200000000
=
0.600000000
=
2.500000000
=
1.100000000
WBTC
=
8.5903e-02
=
7.1813e-02
=
1.050000000
=
0.500000000
=
2.500000000
=
2.000000000
D. Ethereum Mainnet Interest Rate Curves
WETH
=
1.9362e-2
3.8126e-1
=
-1.787e-3
-3.6375e-1
=
1.003870947
1.000010695
DAI
=
1.7852e-2
3.9281e-1
=
-2.789e-3
-3.7781e-1
=
1.003568501
1.000014451
USDC
=
1.4844e-2
3.9281e-1
=
1.9964e-4
-3.7781e-1
=
1.002968978
1.000014451
WBTC
=
2.7194e-2
4.6586e-1
=
3.0160e-2
-4.1345e-1
=
1.007776377
1.050553997
wstETH
=
1.9362e-2
3.8126e-1
=
-1.787e-3
-3.6375e-1
=
1.003870947
1.000010695
OP
=
2.8487e-2
3.5815e-1
=
-5.8259e-3
-3.3564e-1
=
1.005690787
1.000005527
These parameters are utilized to calculate the effective borrow interest rate.
D. Risk Factors
OP Mainnet
WETH
0.86
USDC
0.91
USDC.e
0.91
WBTC
0.78
wstETH
0.82
OP
0.58
Ethereum Mainnet
WETH
0.86
DAI
0.90
USDC
0.91
WBTC
0.85
wstETH
0.82
We associate a Risk-Adjust Factor to each asset to assess each collateral asset's borrow and lending power.
To assess the Risk-Adjust Factor for each asset in the protocol, you can query the markets()
function of the Auditor contract. This can be done using Etherscan, a blockchain explorer.
Follow the steps below to check the Risk-Adjust Factor for a specific asset:
Go to the Auditor contract on Etherscan by navigating to the following URL: https://etherscan.io/address/0x310A2694521f75C7B2b64b5937C16CE65C3EFE01#readProxyContract#F17 (for other networks, go to Smart Contract Addresses and click on the address of the desired Auditor contract)
To query the
markets
In that contract, you will need the market contract address for the specific asset. For example, you can use the following address to check the Risk-Adjust Factor for USDC:0x660e2fC185a9fFE722aF253329CEaAD4C9F6F928
. All addresses for each network (Mainnet, Optimism, et al.) are available in Smart Contract Addresses.Click the "Query" button to call the function. The result will display various information about the market, including the Risk-Adjust Factor.
Following these steps, you can check the Risk-Adjust Factor for any asset in the protocol by simply replacing the market contract address with the one corresponding to the desired asset.
E. Variable Rate Pool Fee
is the fraction of the fixed interest rate fees retained by the Variable Rate Pool upon leaving the Fixed Rate Pool.
F. Supply E.M.A. Parameters
The time decay parameter is used when the supply is above average.
The time decay parameter is used when the supply is below average.
G. Target Solvency Ratio
Target solvency ratio after liquidation.
H. Liquidation Bonuses
During the liquidation process, the liquidator gets a commission fee, and the Variable Rate Pool receives a percentage of extra liquidation fees to compensate for potential bad debt residuals.
I. Extraordinary Earnings Distribution Factor
J. Penalty Rate
The daily penalty rate fee is charged to fixed interest rate borrowers who didn't pay their loans on time. This fee is charged daily after the maturity day.
For example, if your total debt after the maturity date is $100, and you pay 10 days later, the penalty fees will be $4.5 (0.45%*10*$100).
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