According to The Defiant, BA Labs, the former risk advisor for the MakerDAO lending protocol Sky, has proposed lowering the debt cap for five traditional collateralized vaults—ETH-A, ETH-B, ETH-C, WSTETH-A, and WSTETH-B—to zero, halting new borrowing to reduce potential security risks. Currently, these five vaults have 771 open positions with approximately 376 million USDS in outstanding debt, a decrease of about 25% over the past year. If the proposal is approved, existing borrowers can still repay, increase, or withdraw collateral as usual, but will not be able to borrow further funds, and existing positions will remain subject to the existing liquidation rules. https://wublock123.com/news/sky-to-stop-new-borrowing-on-five-eth-staking-vaults-376m-debt-71877