CIP-1: Reduce ETH Vault Liquidation Ratio to 150%

Summary

Decrease Liquidation Ratio of ETH vault from 200% to 150%

Background

TCAP Price on secondary markets is much higher than Oracle price (at this moment is an $80 difference). Meaning that users that want to buy and hold TCAP will need to pay a premium to get it. After weeks of monitoring the market, the ETH price movement has been in more correlation with the Total Crypto Currency Market movement, making it more viable to reduce its liquidation ratio 50%, not being the case with the DAI vault.

Reducing the Ratio will allow minters to create more TCAP with less ETH collateral in an attempt to increase the supply and reduce the secondary market price.

For

Reduce Liquidation Ratio to 150%

Against

Keep Liquidation Ratio on 200%

  • For
  • Against

0 voters

2 Likes

The current difference is $30.

No discussion necessary straight to the proposal… FOR

I enjoyed all of the conversations we had about this in discord, will be happy to see it become a reality.

support this change to reduce liquidation ratio, the max safe can be adjusted to 200% accordingly .

1 Like

I support this change. Voted for!

when can we have the new collateral ration implemented?

We are implementing the on-chain governance with Sybil and Tally, once one of those projects approve our PR we will move forward with the change