This proposal expands IBC rate limits for net movements on assets to a broader array of tokens on Osmosis and reviews the current rate limits.

Background

The IBC Rate Limit module is a safety control implemented in v13, intended to protect assets on Osmosis in the event of security issues with:

• Osmosis
• A counter-party chain
• IBC

Rate limits allow only a specified net percentage change in the quantity of an asset on Osmosis within a specified period.

Slowing down the rate of security incidents allows validators more time to respond, investigate, and take any required action. It either caps the rate at which exploited tokens generated elsewhere can be sent to Osmosis for disposal or prevents unusually high amounts of tokens on Osmosis from being removed.

Current IBC Rate limits were approved in Proposal 427 and can be monitored on the Range Dashboard.

These limits currently cover 37% of non-OSMO liquidity; this proposal expands this to 84%.

Proposed Values

Current Denominations - Adjustments

To be tightened to net flows of 25% per day and 50% per week from 30% and 60%.

ATOM - ibc/27394FB092D2ECCD56123C74F36E4C1F926001CEADA9CA97EA622B25F41E5EB2 WBTC.axl - ibc/D1542AA8762DB13087D8364F3EA6509FD6F009A34F00426AF9E4F9FA85CBBF1F ETH - ibc/EA1D43981D5C9A1C4AAEA9C23BB1D4FA126BA9BC7020A25E0AE4AA841EA25DC5 USDC.axl - ibc/D189335C6E4A68B513C10AB227BF1C1D38C746766278BA3EEB4FB14124F1D858 STARS - ibc/987C17B11ABC2B20019178ACE62929FE9840202CE79498E29FE8E5CB02B7C0A4 JUNO - ibc/46B44899322F3CD854D2D46DEEF881958467CDD4B3B10086DA49296BBED94BED CRO - ibc/E6931F78057F7CC5DA0FD6CEF82FF39373A6E0452BF1FD76910B93292CF356C1

Current Denominations - Removals

To be removed due to lower liquidity levels, which cause the daily caps in raw assets to be lower than expected.

EVMOS - ibc/6AE98883D4D5D5FF9E50D7130F1305DA2FFA0C652D1DD9C123657C6B4EB2DF8A DAI - ibc/0CD3A0285E1341859B5E86B6AB7682F023D03E97607CCC1DC95706411D866DF7

New Denominations

To be set at net flows of 25% per day and 50% per week.

TIA - ibc/D79E7D83AB399BFFF93433E54FAA480C191248FC556924A2A8351AE2638B3877 AKT - ibc/1480B8FD20AD5FCAE81EA87584D269547DD4D436843C1D20F15E00EB64743EF4 USDC - ibc/498A0751C798A0D9A389AA3691123DADA57DAA4FE165D5C75894505B876BA6E4 AXL - ibc/903A61A498756EA560B85A85132D3AEE21B5DEDD41213725D22ABF276EA6945E INJ - ibc/64BA6E31FE887D66C6F8F31C7B1A80C7CA179239677B4088BB55F5EA07DBE273 milkTIA - factory/osmo1f5vfcph2dvfeqcqkhetwv75fda69z7e5c2dldm3kvgj23crkv6wqcn47a0/umilkTIA QSR- ibc/1B708808D372E959CD4839C594960309283424C775F4A038AAEBE7F83A988477 USDT - ibc/4ABBEF4C8926DDDB320AE5188CFD63267ABBCEFC0583E4AE05D6E5AA2401DDAB FET - ibc/5D1F516200EE8C6B2354102143B78A2DEDA25EDE771AC0F8DC3C1837C8FD4447 DYM - ibc/9A76CDF0CBCEF37923F32518FA15E5DC92B9F56128292BC4D63C4AEA76CBB110 SCRT - ibc/0954E1C28EB7AF5B72D24F3BC2B47BBB2FDF91BDDFD57B74B99E133AED40972A WBTC factory/osmo1z0qrq605sjgcqpylfl4aa6s90x738j7m58wyatt0tdzflg2ha26q67k743/wbtc PICA - ibc/56D7C03B8F6A07AD322EEE1BEF3AE996E09D1C1E34C27CF37E0D4A0AC5972516 DYDX - ibc/831F0B1BBB1D08A2B75311892876D71565478C532967545476DF4C2D7492E48C CUDOS - ibc/E09ED39F390EC51FA9F3F69BEA08B5BBE6A48B3057B2B1C3467FAAE9E58B021B STRD - ibc/A8CA5EE328FA10C9519DF6057DA1F69682D28F7D0F5CCC7ECB72E3DCA2D157A4 qATOM - ibc/FA602364BEC305A696CBDF987058E99D8B479F0318E47314C49173E8838C5BAC SAGA - ibc/094FB70C3006906F67F5D674073D2DAFAFB41537E7033098F5C752F211E7B6C2

New Denominations - Stride LSTs

Stride Liquid Staked Tokens are being treated differently as Stride also has rate limits set at more strict restrictions than Osmosis.

These limits will be set to slightly stricter levels than the other Osmosis limits, however higher than the limits on Stride. stOSMO - ibc/D176154B0C63D1F9C6DCFB4F70349EBF2E2B5A87A05902F57A6AE92B863E9AEC - 20% per day, 50% per week (Stride - 15% per day) stATOM - ibc/C140AFD542AE77BD7DCC83F13FDD8C5E5BB8C4929785E6EC2F4C636F98F17901 - 20% per day, 50% per week (Stride - 15% per day) stTIA - ibc/698350B8A61D575025F3ED13E9AC9C0F45C89DEFE92F76D5838F1D3C1A7FF7C9 - 20% per day, 50% per week (Stride - 10% per day)

Justification

The 24-hour period was chosen to allow validators across time zones to act on any questionable behavior detected while resetting frequently enough that extreme market conditions can be reflected on Osmosis.

The seven-day backup period was chosen in case the 24-hour period was not sufficient for validator action to occur.

The limits should be well outside peak usage so as not to affect users using the exchange normally. The limits were initially set at 30% per day and 60% per week. These reductions happen after there have been only triggers of the rate limit cap due to abnormal movements.

Forum Thread:https://forum.osmosis.zone/t/ibc-rate-limits-review/2707