Weekly RiskDAO report 1 Sept ‘23

All referenced data can be accessed directly on the Gearbox dashboard by RiskDAO.


This week’s market action was dominated by ETF speculation. First, Grayscale won a court ruling against the SEC that is favorable for a potential spot BTC launch. Markets rejoiced and showed strong gains.

As August came to a close, the SEC delayed decisions on major pending spot BTC ETF approvals which sent the market plunging.

$MKR saw a sudden jump of 10% this week, and even finished the week up 15%. There wasn’t any specific event that caused this jump but rather some accumulation on exchanges. What’s certain is that MakerDAO’s financial profile recovered after the downward adjustment of the EDSR.

sDAI is now a collateral asset on Aave. Within 24 hours of the pool’s launch, users had already deposited $37 million worth of sDAI onto Aave v3.

Stablecoin monitoring

GUSD liquidity fell from $2.1m to $0.7m. sUSD liquidity dropped from $8.8m to $7.8m. LUSD liquidity continues to increase from $10.2m to $13.2m. sUSD backing declined slightly from 400% to 387%. LUSD backing stayed largely flat around 230%.

There are no significant oracle deviations between DEX and CEX prices.


stETH remains the heavyweight collateral across Gearbox with a share of 51.3% (+580bps vs last week). yvDAI has experienced a relative decline, accounting for 14.2% vs 18.7% the previous week.

The growing importance of stETH requires monitoring to avoid the build-up of significant cluster risks.

Pools summary (weekly comparison)


Total pool size extended last week’s decline, from $6.6m to $5.3m. yvDAI is the #1 asset at $2.8m (-$1.4m), followed by stkcvxcrvPlain3andSUSD at $1.2m (unch) and stkcvxLUSD3CRV-f at $0.7m.

Total debt fell from $5.6m to $4.5m.

The pool remains predominantly collateralized by stablecoins.


Total pool size declined from $4.9m to $3.8m, with the largest collateral assets being stkcvxLUSD3CRV-f at $1.7m (unch), followed by stkcvxcrvPlain3andSUSD at $1.2m (unch) and USDC at $0.4m. stkcvxFRAX3CRV-f accounted for at $1.3m last week but dropped to $0.2m as per this update.

This pool also remains largely backed by stablecoin assets.

Total debt fell from $4.1m to $3.2m.


The WETH pool did not experience any material changes compared to last week.

The pool amount decreased back from $11.4m to $10.9m. The largest collateral assets are stETH (-$0.5m to $10.2m), FRAX (unchanged at $0.4m) and yvWETH at $0.2m (also unchanged).

The pool remains collateralized by mostly ETH or staked ETH assets.

Total debt fell from $9m to $8.7m.


The pool’s credit account has been closed as of last week.


The pool has no active credit accounts. All active positions were closed several weeks ago.


Demand for borrowing stETH continues to be subdued with no active credit accounts. This is a continuation from the previous weeks.