Dear users:
The USDC market parameters were adjusted on March 29, 2024. Meanwhile, the Collateral Factor of the USDC Market was lowered from 75% to 60%. Users who supply in the USDC market can still get APY. Welcome to participate.
At the same time, in order to mitigate the risks posed by the volatile policies surrounding USDC, JustLend DAO will constantly pay close attention to the USDC market, and adjust the parameters of the USDC market in real-time, which will promote the healthy and sustainable development of the USDC market, and ensure the safety of users' assets.
Market Parameters
The details of this adjustment are as follows:
The collateral factor of USDC is set at 60%, while its reserve factor is set at 10%. The USDC market adopts the interest model where the interest rate rockets to a higher tier when the utilization rate exceeds 80%. Its Supply APY hits 72% when the utilization rate reaches 100%.
Supply and borrow APYs at different utilization rates are as follows:
| Utilization rate | Borrow Base APY | Supply Base APY |
| 0% | 0.00% | 0.00% |
| 10% | 0.63% | 0.06% |
| 20% | 1.25% | 0.23% |
| 30% | 1.88% | 0.51% |
| 40% | 2.50% | 0.90% |
| 50% | 3.13% | 1.41% |
| 60% | 3.75% | 2.03% |
| 70% | 4.38% | 2.76% |
| 80% | 5.00% | 3.60% |
| 90% | 42.50% | 34.43% |
| 100% | 80.00% | 72.00% |
Lowering the Collateral Factor
Lowering the collateral factor of the USDC market from 75% to 60% means that the assets users are able to borrow by supplying the same amount of USDC will shrink, and the account with USDC will be exposed to higher risks of liquidation. So please keep an eye on the risks associated with your account.
For proposal details, please refer to Adjust the Interest Model of the USDC Market and Lowering the Collateral Factor of USDC Market to 60%.
Thank you for your support!
JustLend DAO
Mar 29, 2024 (Singapore time)