Integrate rETH on Euler Arbitrum

Euler DAO Markets
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Summary

In preparation for the upcoming DeFi Renaissance Incentive Program (DRIP), Objective recommends listing rETH on Euler Arbitrum as a collateral and borrowable asset within the ETH cluster.

Fundamentals

Over the past 180 days, rETH’s market cap has steadily declined from 500k ETH to 460k ETH.

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Liquidity

As of August 28, 2025, rETH liquidity on Arbitrum supports swaps of up to 322 rETH at under 5%.

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Risk Parameters

Caps

Asset Supply Cap Borrow Cap
rETH 300 -

IRMs

Asset Base rate Kink Rate at kink Rate at max
rETH 0% 50% 1% 40%

LTVs

Collateral Debt LLTV
rETH WETH 93%
rETH wstETH 92%
rETH weETH 91%
rETH rsETH 91%
rETH tETH 91%
WETH rETH 93%
wstETH rETH 92%
weETH rETH 91%
rsETH rETH 91%
tETH rETH 91%

We recommend setting borrow LTVs to 2% below LLTVs.

Oracle

We recommend using Chainlink’s rETH/ETH exchange rate feed.

1 Like
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[Gauntlet] Integrate rETH on Euler Arbitrum

Summary

Should the community choose to onboard rETH to Euler Arbitrum, Gauntlet recommends the following risk parameters:

Overview

DEX Liquidity for rETH on Arbitrum is $16.8M with ~14M TVL in Balancer Pools

The annual log volatility of rETH is 1.53%, compared to 1.13% for wstETH. This indicates that rETH experiences slightly higher volatility. Objective Labs’ outlined LLTVs reflect this volatility premium; Gauntlet is aligned with these recommendations.

LLTVs

Gauntlet recommends adding the following LLTVs in addition to Objective Labs’ recommendation:

Collateral Debt LLTV
rETH ezETH 91%
ezETH rETH 91%

Next Steps

  • We welcome community feedback
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This proposal has been implemented: Arbitrum One Transaction Hash: 0xedf359ab43... | Arbitrum One