Proposal #95

Improving Vault and Bridge Security

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This proposal has been turned into referendum.
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I still believe that 2% is too low.

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Support increasing min. vault size, but 2% slash seems too low and not sensitive especially for small vaults.

Plan seems better to me:

  • 10% slashing
  • increase min. collateral value (the different min. values for DOT and USDT is still a question)
  • increase liquidation thereshold to ensure liquidators will have at least 10%+ vig after slashing penalty and compete hard to liquidate for this vig

Edited

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The explanation I got is that the issue with 10% slashing is that it can push vaults below 1:1 peg and break the bridge. Therefore I support the ref.

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