Summary
A proposal to add the USDC Steakhouse MetaMorpho vault as a new yield source for the USDC Best Yield vault.
References
- Clearpool YTs as a new yield source for USDC BY - Portofino post
- Best Yield revamp: Junior BY vaults wind down post
- Steakhouse Financial website
Background
Following the M1-2024 roadmap, Idle DAO Leagues has initiated the process of revamping the Best Yield vaults. This process counts on multiple steps:
- Unwind the Junior Best Yield vaults
- Renew the BY underlying yield sources to offer the best yield-optimized offering in the market
This post aims to expand on the second step listed and specifically focuses on the USDC Best Yield market.
Proposal
This proposal aims to add the Senior Steakhouse tranche as a new underlying yield source to the Best Yield USDC vault:
Similar to previous yield source integrations, Steakhouse’s one would benefit doubly the Idle users
The Steakhouse vault is currently offering ~8.5% yield on Senior (plus additional MORPHO rewards). If integrated into the USDC BY vault, the supported yield sources would be:
| Yield source | Vertical |
|---|---|
| Compound | Overcollateralized lending |
| Aave v2 | Overcollateralized lending |
| Portofino (Senior) | Uncollateralized lending |
| Fasanara (Senior) | Uncollateralized lending |
| Steakhouse (Senior) | Overcollateralized lending |
To set up the USDC vault in the most economically efficient way, given the high gas cost on mainnet, Leagues propose to add the Steakhouse Senior tranche, but at the same time, delist the Portofino Senior tranche. This would avoid an overload of rebalances and move back the vault towards an overcollateralized main nature.
Steakhouse Financial details
Our seasoned team of crypto-native collaborators brings a wealth of expertise in financial advisory, strategic planning, investment banking, analytics, accounting, legal research, and coding to help your DAO navigate the challenges and opportunities of the decentralized economy.
Steakhouse serves as a strategic advisor to Morpho Blue and runs a MetaMorpho Vault based on real-world assets.
The Steakhouse USDC pool has been live since the beginning of January and currently holds ~$200,000 in liquidity. It hasn’t any borrowing limit.
Risk rating
The borrower has been already analyzed internally following the risk rating framework. The Steakhouse MetaMorpho USDC vault can be considered a valid market to become a new yield source of the Best Yield USDC market.
Next steps
We are going to open the temperature check right after the publication of this post.
Poll for $IDLE holders: 
Polls will close on 
