Re7 USDT MetaMorpho Vault

TLDR

Re7 Labs will be launching a MetaMorpho vault that will lend USDT against interest-bearing stablecoins. The goal is to enable leveraged-yield strategies and provide an above-market lending rate to USDT depositors.

Interest bearing stablecoins represent solid collateral and provide strong borrow demand from users. By establishing a stable money market for each, our vault will give lenders an attractive opportunity to diversify their USDT yield sources.

A MetaMorpho Vault Curated by Re7

Re7 launched the Re7 WETH Vault that has grown to over $12m in TVL and provided WETH lenders with yield from LRT and LST collateral.

Our USDT MetaMorpho vault aims to deliver a similar experience for stablecoin holders:

  • Provide lending liquidity for high-yield interest bearing stablecoin assets that currently can’t be used as collateral, enabling their holders to access leverage staking strategies.
  • Provide attractive yield for USDT holders by lending against assets that have historically higher yields.

We expect to launch with vault allocations to a set of interest bearing stablecoins and expand to further markets as vault liquidity grows.

We have had initial discussions with Ethena to create markets for sUSDe and USDe. We also plan to add an sDAI / USDT market allocation based on potential demand to leverage an increased sDAI yield.

As rates continue to climb in DeFi, we expect additional stablecoin markets to become attractive options for an allocation in the vault.

Roadmap

  • Re7 Labs deploys USDT Vault
  • Morpho Blue Markets for sUSDe / USDT and USDe / USDT launched
  • Vault opens for deposits
  • Project incentives seeded and announced to markets
  • Additional markets activated

Whitelisting Vault Contract to $MORPHO

It is possible that the MetaMorpho vault will receive $MORPHO rewards from supplying to incentivized markets on Morpho Blue. To allow the vault to transfer these potential $MORPHO rewards to depositors, we propose whitelisting our vault address: 0x95EeF579155cd2C5510F312c8fA39208c3Be01a8

About Re7 Labs

Re7 has been providing liquidity in DeFi since 2019 having deployed over $100m of assets. We bring practical experience to risk management from years of managing stablecoin and ETH yield strategies as well as further strategies like our Liquid Token fund. As DeFi-native managers, we have focused on enabling yield strategies, providing early liquidity to various DeFi protocols, and have worked with teams throughout the space on a close basis to grow DeFi liquidity while managing risk.

From our experience deploying capital we bring a unique perspective to risk management as practitioners and power users of DeFi. We have built extensive tooling to provide a deep view into risks in the market including liquidity monitoring, price alerts and a large suite of custom analytics tools. This has allowed us to stay on top of the ever-changing DeFi market, and we will bring this expertise to our MetaMorpho vault.

In addition to leveraging our experience for risk management, we bring an extensive rolodex of DeFi teams and have worked with over 500 projects across DeFi for liquidity provision and advisory. This has involved deployment on over 15 chains and dealing with all kinds of conditions within DeFi. We plan to use our contacts and experience to onboard further assets to Morpho Blue and ultimately our MetaMorpho vaults.

Re7 launched the Re7 WETH MetaMorpho vault in January of 2024.

1 Like