Introducing RockawayX vaults on Morpho

Background

RockawayX, one of the largest on-chain liquidity providers and digital asset investment firms, is expanding its curation activities to Morpho — a protocol redefining lending efficiency through isolated, transparent markets.

With $2 billion in assets under management, $500M+ in deployed TVL across 50+ protocols, and zero defaults since launching our liquidity division in 2021, RockawayX applies an institutional-grade approach to on-chain capital management. Our yield curation offers customized lending configurations within defined risk parameters.

We are also early backers of Morpho, having participated in the protocol’s $50M funding round alongside a16z crypto and Coinbase Ventures. We view curation as the natural convergence of our yield management, infrastructure, and protocol expertise.


Opportunity

As lending markets mature and consolidate around a few dominant protocols, demand is growing for stable, risk-adjusted yields managed by teams with deep protocol expertise and operational infrastructure. Morpho’s isolated market architecture enables granular diversification across borrower types, collateral profiles, and risk tiers.

RockawayX bridges institutional discipline with on-chain composability. Our approach combines three proprietary capabilities:

  • Infrastructure intelligence. Bare-metal data centers across Europe give us direct visibility into network conditions, congestion, and validator dynamics, powering real-time monitoring at the hardware level.

  • Solver-driven market insight . Our solver team powers intent-based applications (Wormhole, 1inch, Mayan, deBridge), feeding proprietary cross-chain liquidity data and market microstructure signals into our risk models.

  • Institutional capital pipeline. Our investment arm’s relationships (100+ portfolio companies) position us to channel institutional demand into Morpho vaults at scale.


Foundational Principles

Our curation framework is built on six pillars:

1. Conservative Design

Targeting sustainable yield from established, proven markets. Capital preservation first; we deliberately operate below protocol LLTV maximums.2. Rigorous Due Diligence

Comprehensive evaluation of collateral assets across five dimensions: token maturity, smart contract audit history, DEX liquidity depth, oracle reliability, and governance structure.

3. Risk-Tiered Allocation

Exposure caps with utilization and liquidity buffers per market. No single market exceeds [TBD]% of total vault TVL.

4. Automated Agents

Multi-agent system executing real-time protective and optimizing actions — rebalancing, exit triggers, and yield optimization running 24/7.

5. Continuous Monitoring

Round-the-clock oversight by our investment committee with predefined escalation procedures. Automated alerts for liquidity drops, oracle deviations, and utilization spikes.

6. Aligned Incentives

Performance-only fee structure. No management fees. Reward programs complement rather than replace sustainable returns.


Automation

RockawayX vaults employ a multi-agent automation framework, drawing on our solver infrastructure and 3+ years of algorithmic capital management:

Rebalancing Agent Continuously redistributes exposure across Morpho markets to maximize efficiency and maintain target utilization ranges. Informed by real-time solver data from cross-chain operations.

Exit Agent Monitors utilization and collateral conditions in real-time. Executes swift market exits during deteriorating conditions; including liquidity drops below minimum thresholds, collateral depeg events, or governance incidents.

Yield Optimizer Dynamically adjusts market caps and allocation weights to capture the best risk-adjusted opportunities while respecting concentration limits and risk-tier constraints.

Our automated execution consistently delivers higher realized yields compared to static allocation, while maintaining tighter risk bounds during volatile conditions.


Proposed Vaults

We propose launching two initial vault lines on Ethereum mainnet:

RockawayX USDC Prime

Parameter Detail
Supply asset USDC
Strategy Low-risk, real-yield lending across selected Morpho markets
Core holdings ETH-backed markets (wstETH, WETH) as primary yield engine
Diversification BTC-backed markets (WBTC, cbBTC) for uncorrelated revenue streams
Collateral filter Established assets only — proven audit history, deep DEX liquidity, battle-tested oracles
LLTV range ≤ 86% major pairs, ≤ 77% moderate-risk
Yield source Lending rates from underlying borrower markets, dynamically rebalanced

RockawayX WETH Prime

Parameter Detail
Supply asset WETH
Strategy Low-risk, ETH-denominated yield focused on the correlated ecosystem
Core holdings Tightly correlated LSTs (wstETH, cbETH, rETH, ETH+)
Diversification Select restaking tokens (post-rigorous assessment)
Collateral filter Liquidity depth, peg stability, and protocol governance quality
LLTV range ≤ 90% correlated LSTs, ≤ 80% less correlated or newer assets
Yield source LST/LRT lending rates with continuous rebalancing

RockawayX USDC Yield

Parameter Detail
Supply asset USDC
Strategy High-yield lending against yield-bearing stablecoins and RWA collateral. Borrowing demand comes from leveraged yield farmers posting yield-bearing assets to amplify their positions.
Core holdings AA_FalconXUSDC, siUSD, syrupUSDC, stcUSD, wsrUSD
Diversification 5 markets across 2 categories — RWA 45% (FalconX + syrupUSDC) / Yield-bearing stables 55% (siUSD + stcUSD + wsrUSD)
Collateral filter Yield-bearing stablecoins, RWA tokens, and Pendle Principal Tokens
LLTV range 77% – 91.5%
Yield source Organic lending interest

Governance & Transparency

  • Timelock: 3 to 7-day timelock on all material vault changes (market additions, cap increases, fee changes)
  • Guardian: Support for depositor-governed guardian (Aragon DAO or equivalent) with veto power
  • Reporting: Monthly curation reports on the Morpho forum, including performance, allocation rationale, risk events, and forward strategy
  • Dashboard: Real-time vault composition, market exposure, historical APYs, and risk metrics [URL TBD]
  • Forum presence: 48-hour response commitment on community questions and governance discussions

Conflict of Interest Disclosure

RockawayX is an investor in Morpho Labs and holds MORPHO tokens. We are also liquidity providers on Morpho markets. We commit to:

  • Never allocating vault capital to markets where RockawayX is the primary or sole borrower.
  • Disclosing any portfolio company relationships relevant to vault collateral assets.
  • Maintaining clear separation between investment decisions (venture/liquidity) and curation decisions.

Entity & Legal

Curation entity: VAULT MANAGEMENT CORPORATION
Jurisdiction: Panama


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