USDC Yield

The KPK USDC Yield vault allocates across selected interest-bearing collateral markets, optimising risk-adjusted yield within isolated lending markets on Morpho. Yield comes from overcollateralised lending rates in underlying markets. Exposure is capped per market, with 24/7 automation and liquidity buffers to preserve smooth withdrawals and stable, risk-adjusted returns.

The vault provides exposure to a higher USDC yield on Base.

Deposit

Live metrics

Key information

Chain	Base
Protocol	Morpho
Standard	ERC-4626
Token	USDC
Address	0x392B3CCf36C8adB8094F45573346B457414cD752
Markets V1 Adapter	0x8189Dc1e433A95d56cD3F3170FE9866bc787d794
Liquidity target	≥30%
Fees	0% on performance
forceDeallocation penalty	0.01%

Strategy

The vault supplies USDC to approved Morpho markets and allocates across them using tier-based rules. Allocations are executed through a Morpho v2 adapter component that routes deposits directly into individual Morpho V1 markets. Markets are enabled only after passing due diligence under KPK’s Risk Framework, and each is assigned a risk tier and a per-market cap to limit concentration and enforce diversification.

The vault launches with three markets. savUSD/USDC (Avant) uses the same collateral as KPK USDC Yield (Ethereum) and was deployed by KPK on Base. cbBTC/USDC is the largest market on Base by supplied and available liquidity, and gives the vault its deepest withdrawal capacity. mGLO/USDC adds a tokenised private-credit leg through Midas Fasanara Global Open. Allocation across the three markets follows the tier- and cap-aware rules above, weighing yield against withdrawal liquidity.

Vault management is fully automated through three dedicated agents operated by KPK: a rebalance agent, an exit agent, and a monitoring agent. The agents monitor borrow utilisation, APY shifts, price divergence relative to reference venues, oracle liveness, and liquidity depth to keep allocations within risk limits and support competitive yields, alongside depositor and third-party activity against the vault itself.

Risk framework

This vault follows KPK’s Risk Framework for market selection (onchain/offchain review, external signals), tiering, and ongoing monitoring. Material parameter changes and their rationale are recorded in the Changelog page.

Risk-tier snapshot

Market exposure	Issuer	Risk tier	Allocation cap	LLTV	Oracle
cbBTC/USDC	Coinbase	A	90%	86%	Chainlink
savUSD/USDC	Avant	C	85%	91.5%	Fundamental + Chainlink
mGLO/USDC	Midas / Fasanara	D	40%	91.5%	Midas

Key risks

• Liquidity and utilisation risk in underlying markets affecting withdrawal latency

• Oracle risk (manipulation, staleness, or failure), affecting pricing and liquidations

• Concentration risk across enabled markets

• Smart-contract and dependency risk (Morpho, collateral assets, and oracle systems)

These risks are actively monitored and managed, but cannot be fully eliminated. See the Morpho Disclaimer.

Governance and controls

Critical actions follow a layered process designed for transparency, security, and timely response. The Curator and allocator Safe (2/5), with a Permissions Layer for agents, is 0x58C83Ce55164537F9C73d5B65C426691bC26Ffa0.