[Circle Proposes Raising Maximum USDC Deposit Rate to 48.2% on Aave Forum] Odaily Planet Daily News – Circle Chief Economist Gordon Liao has initiated a proposal on the Aave governance forum, suggesting an emergency adjustment to the USDC interest rate parameters in the Aave V3 Ethereum main pool. This is to address the situation where the pool's utilization rate has remained at an extremely high level of 99.87% for four consecutive days following the KelpDAO attack incident. Liao stated that Aave's current interest rate mechanism has failed to effectively 'clear' the market. The pool currently has a supply size of $1.89 billion and an equivalent borrowing size of $1.89 billion, with available liquidity of less than $3 million. The borrowing rate has remained at the post-threshold cap (approximately 14%), and over the past 24 hours, the pool size has shrunk by about $60 million — due to repayment funds being used incrementally to meet queued withdrawal demands. Therefore, it is proposed to immediately adjust the Slope 2 parameter in the USDC deposit rate curve from approximately 10% to 40% through the Risk Steward mechanism, and confirm a further increase to 50% via governance voting within 5 to 7 days. Meanwhile, the Optimal Utilization rate will be reduced from 92% to 87% during the transition phase and further lowered to 85% after final confirmation. According to Liao's proposal, under the new parameter settings, when the utilization rate reaches 100%, the maximum USDC deposit rate will increase from approximately 12.6% to 48.2%.