The Governance Facilitators, Dewiz, and Sidestream have placed an executive proposal into the voting system. MKR/SKY Holders should vote for this proposal if they support the following alterations to the Sky Protocol.

If you are new to voting in the Sky Protocol, please see the voting guide to learn how voting works.

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Executive Summary

If this executive proposal passes, the following actions will occur within the Sky Protocol:

• Stability Fees for multiple vaults and the Savings Rates (DSR and SSR) will be decreased.
• 406,451.52 DAI in the PauseProxy will be swept into the Surplus Buffer.
• 3 million USDS for Integration Boost funding will be transferred to 0xD6891d1DFFDA6B0B1aF3524018a1eE2E608785F7.
• 1,000 USDS will be transferred to a misalignment whistleblower at 0xa6e8772af29b29B9202a073f8E36f447689BEef6.
• A Spark Proxy spell at 0xD5c59b7c1DD8D2663b4c826574ed968B2C8329C0 will be triggered.

Voting for this executive proposal will place your MKR/SKY in support of the actions outlined above.

Unless otherwise noted, the actions listed above are subject to the GSM Pause Delay. This means that if this executive proposal passes, the changes and additions listed above will only become active in the Sky Protocol after the GSM Pause Delay has expired. The GSM Pause Delay is currently set to 30 hours.

This executive proposal includes an office-hours modifier that means that it can only be executed between 14:00 and 21:00 UTC, Monday - Friday.

If this executive proposal does not pass within 30 days, then it will expire and can no longer have any effect on the Sky Protocol.

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Proposal Details

Rate Adjustments

• Authorization: Ecosystem Authorization
• Proposal: Forum Post

If this executive proposal passes, then the stability fees for multiple vaults and the Savings Rates (DSR and SSR) will be decreased as follows.

Stability Fees Adjustments

• Reduce ETH-A Stability Fee by 3 percentage points from 12.75% to 9.75%.
• Reduce ETH-B Stability Fee by 3 percentage points from 13.25% to 10.25%.
• Reduce ETH-C Stability Fee by 3 percentage points from 12.50% to 9.50%.
• Reduce WSTETH-A Stability Fee by 3 percentage points from 13.75% to 10.75%.
• Reduce WSTETH-B Stability Fee by 3 percentage points from 13.50% to 10.50%.
• Reduce WBTC-A Stability Fee by 2 percentage points from 16.25% to 14.25%.
• Reduce WBTC-B Stability Fee by 2 percentage points from 16.75% to 14.75%.
• Reduce WBTC-C Stability Fee by 2 percentage points from 16.00% to 14.00%.
• Reduce ALLOCATOR-SPARK-A Stability Fee by 4.04 percentage points from 5.37% to 1.33%.

Savings Rates (DSR and SSR) Adjustments

• Reduce DSR by 4 percentage points from 11.25% to 7.25%.
• Reduce SSR by 3.75 percentage points from 12.50% to 8.75%.

Sweep DAI from PauseProxy to Surplus Buffer

• Authorization: Ecosystem Authorization
• Proposal: Forum Post

If this executive proposal passes, then 406,451.52 DAI from the default of the ConsolFreight Vault in the PauseProxy will be swept into the Surplus Buffer.

Integration Boost Funding

• Authorization: Atlas
• Proposal: Forum Post

If this executive proposal passes, then 3 million USDS will be transferred to 0xD6891d1DFFDA6B0B1aF3524018a1eE2E608785F7 to continue funding the Integration Boost initiative.

Whistleblower Payment

• Authorization: Atlas
• Proposal: Forum Post

If this executive proposal passes, then a misalignment whistleblower payment of 1,000 USDS will be transferred to GFX Labs at0xa6e8772af29b29B9202a073f8E36f447689BEef6, pursuant to A1.5.19.

Spark Proxy Spell

• Authorization: Ecosystem Authorization, Governance Polls 1184; 1185; 1186; 1187; 1188
• Proposal: Forum Post

If this executive proposal passes, then a Spark Proxy Spell will be executed at 0xD5c59b7c1DD8D2663b4c826574ed968B2C8329C0 with the following contents.

Spark Liquidity Layer Base - Increase Morpho USDC Vault Timelock

Increase the Morpho USDC vault 0x7BfA7C4f149E7415b73bdeDfe609237e29CBF34A timelock to 1 day on Base.

Spark Liquidity Layer Base - Onboard Fluid sUSDS

Onboard Fluid sUSDS to the Spark Liquidity Layer on Base with the following rate limits:

• max amount: 10 million sUSDS
• slope: 5 million sUSDS per day

Savings USDS Vault: 0xf62e339f21d8018940f188F6987Bcdf02A849619

Spark Liquidity Layer Mainnet - Onboard Fluid sUSDS

Onboard Fluid sUSDS to the Spark Liquidity Layer on Mainnet with the following rate limits:

• max amount: 10 million sUSDS
• slope: 5 million sUSDS per day

Savings USDS Vault: 0x2BBE31d63E6813E3AC858C04dae43FB2a72B0D11

SparkLend Ethereum - Adjust WBTC Parameters

Reduce the WBTC liquidation threshold by 5 percentage points from 55% to 50%.

SparkLend Ethereum - Update ETH and BTC Price Feeds

Update the ETH and BTC price feeds to the new version of Aggor on SparkLend Ethereum on the following markets:

• ETH: 0x2750e4CB635aF1FCCFB10C0eA54B5b5bfC2759b6
• wstETH: 0xE98d51fa014C7Ed68018DbfE6347DE9C3f39Ca39
• weETH: 0xBE21C54Dff3b2F1708970d185aa5b0eEB70556f1
• rETH: 0xFDdf8D19D092839A26b31365c927cA236B5086cf
• cbBTC: 0x4219aA1A99f3fe90C2ACB97fCbc1204f6485B537

Review

Community debate on these topics can be found on the Sky Governance forum. Please review any linked threads to inform your position before voting.

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Resources

Additional information about the Governance process can be found in the Operational Manual.

To add current and upcoming votes to your calendar, please see the Sky Governance Calendar.