Weekly RiskDAO report 27 Jan ‘23

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


Last week, MakerDAO made headlines again as GUSD takes center-stage as questions arise about Gemini’s future: Gemini Earn has granted loans worth $900m to Genesis which is part of DCG’s bankruptcy discussions. Gemini is also the issuer of the GUSD stablecoin to which the MakerDAO PSM has a $500m exposure. On 19 January, MakerDAO tokenholders were polled whether to keep this arrangement or to reduce the GUSD PSM debt ceiling to nil. The vote finished narrowly in favor of keeping the status quo (50.85% of all votes). The reduction of the debt ceiling would have tested Gemini’s fiat liquidity and might have forced a bank-run with unknown consequences. Earlier this week Tyler Winklevoss had posted a lengthy post in the MakerDAO forum, along with subsequent Q&A in their Discord, in an attempt to avoid GUSD FUD.

In addition, Paxos is trying to promote its USDP stablecoin by increasing the MakerDAO PSM debt ceiling to $1.5bn from the current $0.5bn. Paxos is offering to share 45% of the Federal Funds Rate (currently at 4.3%) with MakerDAO which could add up to a total of $29m in extra revenue.

Avi Eisenberg gets formally charged for market manipulation by the SEC, as he is awaiting transfer to a federal prison in NYC. The SEC mentions that he manipulated the $MNGO token “…, a so-called governance token offered and sold as a security on the crypto platform Mango Markets.”

LUSD’s premium has disappeared and the stablecoin is back to its $1-peg.

Euler lists Coinbase’s $cbETH as collateral asset.

Stablecoin monitoring

GUSD liquidity declined slightly from $27m to $26m. sUSD liquidity declined from $27.5m to $24.2m and LUSD dropped from $51.4m to $46.8m. sUSD backing continues to improve from 580% to 595%. LUSD backing declines from 297% down to 262%.

DEX liquidity for all other stablecoins remained largely unchanged.

Oracle deviation: The CEX price deviation for GUSD has diminished. GUSD prices are comparable on both CEX and DEXes .

Pools summary (weekly comparison)


Total pool size increased from $18.6m too $20.4m. stkcvxcrvPlain3andSUSD remains the #1 asset at $11m(+$1.2m), followed by stkcvxgusd3CRV at $5.1m (+$0.7m) and yvDAI at $1.6m (unchanged).

Total debt has increased from $15.5m to $17.2m.

The pool remains predominantly collateralized by stablecoins.


Total pool collateral has increased from $31.2m to $32.9m, with the largest collateral assets being stkcvxcrvPlain3andSUSD (+$1.8m to $20.4m) & stkcvxgusd3CRV (+$0.2m to $5.1m), followed by stkcvxLUSD3CRV-f fell to (+$0.1m to $1.7m).

This pool also remains large backed by stablecoin assets.


The pool experienced a weekly decrease from $32.3m to $29.7m. The largest collateral assets are stETH (-$1.9m to $15.9m), stkcvxsteCRV (-$0.1m to $9.6m) and yvWETH (-$0.5m to $2.9m).

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

CEX prices for stETH deviate from DEXes as stETH remains an asset that is primarily traded on DEXes. CEX pricing is thus a less relevant data point.


All credit accounts have been closed. The pool has had relatively small scale since inception with total assets of $0.14m over the last weeks.


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


Current risk parameters are on par with our models.

We continue to closely monitor stablecoin liquidity.

Additional stats, updated daily, are available in our dashboard at https://gearbox.riskdao.org/