This whole method of analysis is odd to me. I'm the farthest possible thing from an expert on bond math, but: 1) The market is now clearing on mainnet at <8% yields. Funds are no longer stuck at upper bound rates, even knowing all of this. 2) No major lending protocol has actually ever socialized losses in almost 10 years of operating. Every single time there was an issue or bad debt, depositors have been made whole, and markets are pricing that the same will happen here with the DeFiUnited initiative. 3) In general, my bias is to listen to what the market is saying, rather than to try to dictate to the market what it should say.