Optimizing USDT Market Parameters

Dear Paribus Governance Forum,

We are excited to present a proposal aimed at optimizing the USDT (Tether) market parameters on our platform. Through careful analysis of market dynamics, we believe these adjustments will contribute to a more robust and responsive ecosystem for our community.

Challenges and Considerations:
The USDT market requires precise calibration of parameters to ensure stability and efficiency. Our proposal addresses this challenge by strategically adjusting key parameters to better align with market demand and maintain a healthy balance between borrowing and supplying.

Current USDT parameters:

Parameter Value
Base Rate Per Block 0
Multiplier Per Block 213898984920 / 1e18
Jump Multiplier Per Block 427797969841 / 1e18
Kink 500000000000000000 / 1e18
Reserve Factor 7500000000000000 / 1e18

New USDT Parameters:

Parameter Value
Base Rate Per Block 0
Multiplier Per Block 43118984920 / 1e18
Jump Multiplier Per Block 137797969841 / 1e18
Kink 400000000000000000 / 1e18
Reserve Factor 100000000000000000 / 1e18

Utilization rates for the new USDT parameters:

Utilization Rate Borrow Rate (Annual) Supply Rate (Annual)
0% 0.00% 0.00%
1% 0.11% 0.00%
2% 0.23% 0.00%
3% 0.34% 0.01%
4% 0.45% 0.02%
5% 0.57% 0.03%
6% 0.68% 0.04%
7% 0.80% 0.05%
8% 0.91% 0.07%
9% 1.03% 0.08%
10% 1.14% 0.10%
11% 1.25% 0.12%
12% 1.37% 0.15%
13% 1.48% 0.17%
14% 1.60% 0.20%
15% 1.71% 0.23%
16% 1.83% 0.26%
17% 1.95% 0.30%
18% 2.06% 0.33%
19% 2.18% 0.37%
20% 2.29% 0.41%
21% 2.41% 0.45%
22% 2.52% 0.49%
23% 2.64% 0.54%
24% 2.76% 0.59%
25% 2.87% 0.64%
26% 2.99% 0.69%
27% 3.11% 0.75%
28% 3.22% 0.80%
29% 3.34% 0.86%
30% 3.46% 0.92%
31% 3.58% 0.98%
32% 3.69% 1.05%
33% 3.81% 1.12%
34% 3.93% 1.19%
35% 4.05% 1.26%
36% 4.16% 1.33%
37% 4.28% 1.41%
38% 4.40% 1.48%
39% 4.52% 1.56%
40% 4.64% 1.65%
41% 5.02% 1.82%
42% 5.40% 2.01%
43% 5.78% 2.20%
44% 6.16% 2.40%
45% 6.55% 2.60%
46% 6.93% 2.81%
47% 7.32% 3.03%
48% 7.71% 3.26%
49% 8.10% 3.50%
50% 8.49% 3.74%
51% 8.89% 3.99%
52% 9.28% 4.24%
53% 9.68% 4.51%
54% 10.08% 4.78%
55% 10.48% 5.06%
56% 10.88% 5.34%
57% 11.28% 5.64%
58% 11.68% 5.94%
59% 12.09% 6.25%
60% 12.49% 6.56%
61% 12.90% 6.89%
62% 13.31% 7.22%
63% 13.72% 7.56%
64% 14.14% 7.91%
65% 14.55% 8.27%
66% 14.96% 8.64%
67% 15.38% 9.01%
68% 15.80% 9.39%
69% 16.22% 9.78%
70% 16.64% 10.18%
71% 17.06% 10.59%
72% 17.49% 11.01%
73% 17.91% 11.44%
74% 18.34% 11.87%
75% 18.77% 12.31%
76% 19.20% 12.77%
77% 19.63% 13.23%
78% 20.07% 13.70%
79% 20.50% 14.18%
80% 20.94% 14.67%
81% 21.38% 15.17%
82% 21.82% 15.68%
83% 22.26% 16.20%
84% 22.70% 16.73%
85% 23.15% 17.27%
86% 23.60% 17.82%
87% 24.04% 18.38%
88% 24.49% 18.95%
89% 24.95% 19.53%
90% 25.40% 20.12%
91% 25.85% 20.72%
92% 26.31% 21.34%
93% 26.77% 21.96%
94% 27.23% 22.60%
95% 27.69% 23.24%
96% 28.15% 23.90%
97% 28.62% 24.57%
98% 29.08% 25.25%
99% 29.55% 25.95%
100% 30.02% 26.65%

Our proposal aims to enhance the USDT market parameters on Paribus, offering the following benefits:

  1. Improved Stability: By adjusting parameters to better reflect market demand, we aim to enhance stability within the USDT market, providing a more reliable environment for users to engage with.
  2. Enhanced Efficiency: The proposed changes will promote better capital efficiency within the USDT market, allowing users to benefit from competitive rates and increased returns on their assets.

We invite all members of the Paribus Governance Community to review and contribute to this proposal. Your feedback is crucial in shaping the future of our platform.

Sincerely,

The Paribus Team

3 Likes

Happy with these parameters! Looks very reasonable.

1 Like

This is good, I’m all for this one

This will share a lot of spotlight on Paribus! Better rates more investors so I’m down like 100%