Summary
This proposal announces the submission of xAUT/USDT 77% as collateral on steakUSDT for Ethereum.
Rationale
xAUT is the tokenized gold issued by Tether. With a market cap of $837M it becomes a significant asset. It suit well a USDT vault as they have the same issuer, therefore similar trust assumptions.
The market was created end of January and added to steakUSDTlite without any issue to date.
Market details
The market id is 0xb7843fe78e7e7fd3106a1b939645367967d1f986c2e45edb8932ad1896450877 and uses 77% LLTV. You can find all the information on the market here.
Similar to PAXG/PYUSD, we are using a 77% LLTV which might sounds low due to the fact that we are using a Chainlink Gold price oracle instead of a XAUt one. There is no gold price during Sundays so there will be a stale price. We analyzed price fluctuation since 1978, and the biggest daily drop was 13.2% (the 77% LLTV allowing a drop of 23%).
Supply Cap: 10M USDC
Next steps
Please feel free to comment or ask any question in this thread or via DMs.
As always, Steakhouse vault holders can easily veto any change using the Aragon guardian over the next 7 days, which follows the best-in-class risk standard for lenders.
For reference, here is the Aragon DAO link where users can wrap their vault token and create a veto vote: