Some illiquid altcoins will have their borrow limit reduced by upward of 99%.
Users of decentralized finance lending platform Compound Finance have passed a proposal to restrict the maximum borrowing of 10 tokens on the protocol. The proposal put forth by financial modeling firm Gauntlet passed Nov. 28 by majority vote, although the total turnout amounted to less than 7% of the COMP tokens in circulation.
Most notably, tokens such as Uniswap and COMP had their borrow limits slashed from 11.25 million and 150,000 to 550,000 and 18,000, respectively. Other less liquid altcoins on Compound were also affected, such as Yearn.finance, which had its borrow cap reduced from 1,500 to just 20. Wrapped Bitcoin (WBTC), which previously had no borrow limit on Compound, has been slapped with a lending ceiling of 1,250.
Source : [Compound Finance to impose lending caps in light of failed Aave exploit](https://cointelegraph.com/news/compound-finance-to-impose-lending-caps-in-light-of-failed-aave-exploit) by Cointelegraph By Zhiyuan Sun - November 28, 2022