This proposal, if approved, will switch PRIME across to a new 0 - 2 - 20 strategy with optimal utilisation at 75%.

This results in lower, more predictable borrowing costs for PRIME - opening up additional use cases for otherwise idle PRIME capital. Keep your eyes peeled for a fresh Hydrated Strategy post regarding a new product which borrowed PRIME will feed.

Whilst lowering overall borrowing costs for PRIME, a significant increase in PRIME borrows (even at lower rates) can result in PRIME collateral generating higher yields on Hydration than Kamino or elsewhere.