Summary
This proposal increases the cumulative supply ceiling of the two reUSD LP markets on FiRM from 3,000,000 DOLA to 5,000,000 DOLA, allocating 1,000,000 DOLA of additional capacity to each market, and upgrades the reUSD pricing path to the new ChainlinkCurveWindDownFeed, an enhancement that equips the feed architecture with an orderly wind-down capability for severe stress scenarios. Daily borrow limits, collateral factors, liquidation parameters, and minimum debt remain unchanged. The ceiling increase is supported by the on-chain liquidity study summarized below, which the Risk Working Group has maintained daily since the markets launched.
Background
The reUSD LP markets went live on FiRM with a combined 2,000,000 DOLA ceiling and filled that borrow capacity just over a week after launch. Governance approved an increase to a combined 3,000,000 DOLA in late August, sized against demonstrated liquidity growth under the composite improvement benchmark introduced with that proposal. That capacity has now also filled, with demand sustained rather than front-loaded, while the underlying liquidity picture has continued to strengthen. This proposal continues the same staged approach, raising each market’s ceiling by 1,000,000 DOLA against a liquidity base that has grown materially since the last increase.
Liquidity Study
The RWG reconstructs the reUSD liquidity picture daily from on-chain data using a composite improvement benchmark, which averages the growth of three indicators over their August 6 launch-era baseline: the reUSD/scrvUSD feed pool TVL, total reUSD DEX liquidity across the four Curve pools, and aggregate exit capacity through Resupply’s lending pairs. Supply and borrow figures are deliberately excluded so the benchmark tracks liquidity available to exit through rather than growth that adds exposure.
As of September 21, the composite stands at +82.4% over baseline, its highest reading to date, and its rolling 30 day trailing low is +62.0%. Total DEX liquidity has more than doubled since baseline, from $11.4M to $23.5M across the four Curve pools, and the feed pool has grown from $7.9M to $14.0M.
Exit capacity warrants the most careful treatment, and the RWG applies a deliberately conservative measure. Unborrowed stablecoins idle in the underlying CurveLend and Fraxlend vaults total $24.1M, but those vaults are shared markets in which Resupply is one lender among several, so a reUSD redeemer can only reach idle liquidity up to the collateral actually posted through each Resupply pair. Taking the per pair minimum of idle liquidity and posted collateral yields $16.26M of realizable exit capacity, the amount reUSD redemption could convert into hard stables today. This conservative figure covers the proposed 5,000,000 DOLA cumulative ceiling more than three times over, and the gross measures sit well above it, with $24.1M idle in the underlying vaults and $51.4M of collateral posted through Resupply pairs.
Price Feed Enhancement
Alongside the ceiling increase, this proposal upgrades the reUSD pricing path to the ChainlinkCurveWindDownFeed, an enhancement developed and reviewed by contributor and external developers that extends FiRM’s oracle architecture with an orderly wind-down capability.
The enhancement adds a mechanism through which, in a severe and sustained reUSD stress scenario, the feed transitions from live pricing to a linear wind-down that decays the reported price over a fixed 24 hour duration. Activation is permissionless once a predefined on-chain price threshold is met, with a small DOLA incentive paid to the caller, so the mechanism does not depend on any privileged actor being available. Upon activation the feed reports a zero timestamp, which propagates through the LP and vault feeds and halts all new borrowing in the affected markets via FiRM’s existing staleness checks, while liquidations proceed along the decay path so the protocol can unwind exposure in an orderly fashion rather than all at once. The Risk Working Group multisig holds a restricted recovery function that deactivates the wind-down and restores live pricing if conditions normalize. The existing ChainlinkCurveFeed and all coin 1 pricing paths are unchanged.
The market-facing oracle configuration is otherwise unchanged: both markets continue to use their standard LP feeds, with the ChainlinkCurveWindDownFeed serving as the reUSD component within that composition. The deployed feed stack consists of the ChainlinkCurveWindDownFeed (reUSD / USD) at 0xF2687C32c03C1b4A52015A029C58f99dc851efC0, the reUSD-sDOLA Curve LP feed (reusdsdola / USD) at 0xcfe284F74e323f8038a74EE62ed7a144A782F2F4, which composes the wind-down feed with the DOLA / USD feed, and the Yearn vault feed (yvCurve-reUSD-sDOLA-f / USD) at 0x5ba83AE12Dff394F76A793a2F6c3FC58Bd316580, which wraps the LP feed.
Parameters
| Parameter | Yearn strategy | StakeDAO OnlyBoostV2 strategy |
|---|---|---|
| Supply Ceiling | 1,500,000 DOLA to 2,500,000 DOLA | 1,500,000 DOLA to 2,500,000 DOLA |
| Daily Borrow Limit | 250,000 DOLA (unchanged) | 250,000 DOLA (unchanged) |
| Collateral Factor | 85% (unchanged) | 85% (unchanged) |
| Liquidation Factor | 100% (unchanged) | 100% (unchanged) |
| Liquidation Incentive | 5% (unchanged) | 5% (unchanged) |
| Minimum Debt | 3,000 DOLA (unchanged) | 3,000 DOLA (unchanged) |
On-Chain Actions
- Set the supply ceiling of the reUSD Yearn strategy market to 2,500,000 DOLA
- Call setFeed on the FiRM Oracle for the Yearn strategy market collateral, setting its price feed to 0x5ba83AE12Dff394F76A793a2F6c3FC58Bd316580
- Set the supply ceiling of the reUSD StakeDAO OnlyBoostV2 strategy market to 2,500,000 DOLA
- Call setFeed on the FiRM Oracle for the StakeDAO OnlyBoostV2 strategy market collateral, setting its price feed to 0xcfe284F74e323f8038a74EE62ed7a144A782F2F4