# Aave risk stewards propose Gnosis cap reductions and a flatter X Layer USDC curve

> Proposed Gnosis sDAI supply cap falls from 20M to 5M; WXDAI supply cap from 4M to 1M and borrow cap from 3.7M to 500K. Proposed X Layer USDC Slope 2 falls from 40% to 20%.

- URL: https://riadefi.com/on-chain/2026-10-01-aave-v3-risk-stewards/
- Type: Economic change
- Stage: Proposed
- Evidence: confirmed
- Materiality: watch
- Event date: 2026-10-01
- Version: 1, published 2026-10-05 (first published 2026-10-05)
- Follow-up: 2026-10-08
- Advisor-relevant: no
- Affects: Aave v3 (protocol)

## What happened

LlamaRisk recommended reducing Gnosis reserve caps and lowering X Layer USDC's high-utilization interest-rate slope through the Risk Steward process.

## What changed

Proposed Gnosis sDAI supply cap falls from 20M to 5M; WXDAI supply cap from 4M to 1M and borrow cap from 3.7M to 500K. Proposed X Layer USDC Slope 2 falls from 40% to 20%.

## What did not change

The cached record does not prove implementation. X Layer USDC's 90% optimal utilization, zero base rate, and 4.50% Slope 1 remain unchanged in the recommendation.

## Confirmed

- The official recommendation provides the specified cap and rate changes.
- LlamaRisk cites low Gnosis secondary-market liquidity for the cap reductions.
- The notice states X Layer USDC utilization at 89.4%, below the unchanged optimal point.
- Implementation is described as a next step.

## Still open

- Whether stewardship transactions executed and the current parameter values.
- Subsequent X Layer utilization and withdrawal liquidity.
- Remaining Gnosis cap headroom after implementation.

## What it means for an advisor

- Monitor transaction execution and update capacity assumptions during the Aave V3 memo review.
- Review how the lower high-utilization slope affects incentives to replenish withdrawal liquidity.

## Sources

1. [Risk Stewards: Cap and IRM Changes on Aave V3 / 2026.10.01](https://governance.aave.com/t/risk-stewards-cap-and-irm-changes-on-aave-v3-2026-10-01/25747) · LlamaRisk / Aave governance · 2026-10-01


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Published by Ketju Research on RIADeFi (https://riadefi.com). Educational research for financial professionals; not investment, legal, tax, or compliance advice.