Wu said that the Aave community has passed a proposal to set the USDS LTV to 0, remove its collateral eligibility, and increase the reserve factor (RF) to 25%, while also removing USDS from all e-Mode options. The reasons include declining yields and risk exposure brought by the issuance mechanism. MakerDAO founder Rune responded that the proposal misunderstands the lending methods of Stars from Sky such as Spark and Grove. If Sky’s transparency and scalability improve in the future, there will still be opportunities for USDS to be reapproved as a collateral asset and to promote wider adoption.