BA Labs Proposes Pausing New Borrowing in Sky Core Vault

The proposal signals a cautious stance from Sky's own advisor, and the scale of the Core Vault—hundreds of open positions and hundreds of millions in USDS debt—means any change to its borrowing mechanics could reshape how users interact with the protocol. Existing borrowers retain repayment and collateral management, so the immediate risk is limited to new minting, but the precedent of pausing a core vault is notable for a system that relies on USDS expansion. Whether the proposal passes and how the community weighs growth against prudence is the open question.