Reassessing all tokens parameters

Discussion
1

Recently dozens of DeFi projects have been hacked. Projects and users took millions of dollars’ loss.

Wing is quite safe because of several mechanisms:

  1. Insurance pool
  2. Fully open liquidation system
  3. Relative reasonable parameters

Although these mechanisms protect Wing users from attacking, we still need to remain vigilant and eliminate potential risks. We’ve already released Flash Pool on 3 different chains and 31 tokens are supported. We should do a fully reassessment on parameters of all supported tokens and establish a model of risk control and future tokens’ parameter determination.

Parameters include:

  1. Collateral factor
  2. Reserve factor
  3. 4 parameters of interest rate
  4. Liquidation Bonus
  5. Risk level (New)

Following Factors should be considered

  1. Token circulating supply, market value & volume
  2. Token max supply
  3. Token generating mechanism
  4. Token cross chain mechanism

If you have other ideas, please leave a comment.

2

Attacks have occurred frequently recently. Although Wing has established a reasonable mechanism and powerful technical force to forge a solid city wall, security should always be further improved.

It’s really necessary.

3

We have established Wing Assets Risk Model and re-evaluated the Collateral factors of all assets, the Collateral Factors of following assets need to be adjusted:

Wing Flash Pool (Ontology):
ONG 40% → 45%
pSUSD 80% → 60%
pYFI 55% → 50%
pDAI 80% → 75%
pUNI 65% → 60%

Wing Flash Pool (Ethereum)
oneWING 85% → 45%

Wing Flash Pool (OKExChain)
WING 50% → 40%
LINKK 65% → 55%
OKB 70% → 45%
ETHK 70% → 80%
BTCK 70% → 75%
DOTK 65% → 60%
OKT 70% → 60%

Feel free to have your say!

4

The reduction of the collateral factor will cause some addresses to be liquidated, right?
It is recommended to publicize for a period of time before the collateral factor modified, for example, 1 month, so that users have enough time to fix their account.

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5

I suggest reducing the collateral factor by 5% each time, which could give the users warning and also time to fix their account. An adjustment that is too large at one time may cause some users to be liquidated.

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6

The following are our first batch of assets that intend to adjust the collateral factors:

Wing Flash Pool (Ontology):
ONG 40% → 45%
pYFI 55% → 50%

Wing Flash Pool (OKExChain)
LINKK 65% → 60%
OKB 70% → 65%
ETHK 70% → 80%
BTCK 70% → 75%
DOTK 65% → 60%
OKT 70% → 65%

7

In my opinion, every user needs to be notified, so it should be frequently publicized on the official twitter and forwarded in various groups to ensure that every user can see and check their positions.

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8

I think 1 month is too long, suggested 1 week.

9

And for users of the ETH network it would be nice to have a few weekends to change their positions with low gas fees.

10
Supply Supply Supply Supply Borrow Borrow
address OKB OKT USDT WING USDC WING Current Borrow Limit Borrow Limit after adjusting Collateral Factor
0x1c89***feb3 56.00 7,411.59 271.43 49.7% 50.5%
0x50cd***8679 10.18 0.07 183.66 59.5% 64.1%
0x8b7e***a245 3,280.00 160,286.72 78,548.89 2,772.43 77.4% 78.2%

I asked the data department to make a small list of the current borrowers list with these assets as collateral, this is filtered for minimum 50$ worth of borrowing and at least 50$ worth of collateral.

As we can see the adjustment of the collateral factor mentioned above would not cause any liquidation on this list.

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11

Asset security is the most important. both Compound and Aave put risk control in the first place.
Go head!

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12

All adjust should be 5% every 2 week, user should be nocited and have a cooldown on Homepage

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13

I agree that 2 weeks allows users to adjust their positions, 1 week may be too short, especially in Ethereum.

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