Background

Following the INV price manipulation incident that occurred on April 2, 2022, bad debt is increasing at a rate of ~$20k/day on WBTC, ETH, and YFI.

As a temporary measure we propose setting interest rates on WBTC, ETH, and YFI to 0% to stop bad debt from accumulating further. Stopping the bad debt from growing allows the DAO to pay it off more quickly.

Prior interest rate models will be reinstated after reduction of bad debt and utilization rate.

On-Chain Actions: Set interest rate models on WBTC, ETH, and YFI to 0%