# [ARC] Gauntlet Risk Parameter Updates for Arbitrum and Polygon Aave V3 (2023-03-02)
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## Simple Summary

This analysis follows Gauntlet's market update [here](https://governance.aave.com/t/gauntlet-market-alerts-feb-2023/11622/7?u=pauljlei). We recommend no changes to these caps at this point in time.

| Market | Asset | Parameter | Current Parameter | Recommended Parameter |
| ----------- | ----- | ---------- | ----------------- | --------------------- |
| Polygon v3 | GHST | Supply Cap | 5,876,000 | No Change |
| Arbitrum v3 | AAVE | Supply Cap | 2,500 | No Change |
| Polygon v3 | SUSHI | Supply Cap | 299,320 | No Change |
| Polygon v3 | SUSHI | Borrow Cap | 102,484 | No Change |

**Polygon v3**
SUSHI: Given the asset's market cap, we do not recommend increasing supply or borrow cap.
GHST: we do not recommend increasing supply cap. The aggressive methodology based on global liquidity does not support a borrow and supply cap increase.
**Arbitrum v3**
Aave: we do not recommend increasing supply cap. The aggressive methodology based on global liquidity does not support a borrow and supply cap increase.
## Analysis

#### GHST on Polygon v3

Supply Cap Usage has been flat between 70-80% since Feb 1st.

#### SUSHI on Polygon v3

Supply and Borrow Cap usage have trended between 70-80% since Feb 1st.

#### Aave on Arbitrum

Aave Supply Cap usage spiked to 98% on Feb 22nd but has since dropped to 80%.

## Next Steps:
* No immediate next steps