Risk move
U
Gauntlet USDT Prime
gtUSDT
EthereumOn peg4Ethereum
USDT
Plain English explanationWritten by vaults.xyz research · model card · last update 2026-05-12
What this vault actually does
The USDT Prime vault will list highly liquid, large-cap collateral markets and continuously optimize for risk-adjusted yield across collateral markets.
Yield decomposition
What you are actually getting paid for, expressed as a share of net APY.
Hover for source breakdownTotal · 2.49% gross APY
Borrower lending demand
Structural
Interest paid by borrowers on Morpho Blue markets the vault supplies into.
2.37%95.2% of yield · 237 bps
Protocol incentives
Incentive
Estimated boost from Morpho-side rewards programs and curator rebates active on these markets.
0.12%4.8% of yield · 12 bps
What breaks this vault
The honest version. Every structural failure mode this vault is exposed to, ranked by severity. If you want to know whether to invest, start here.
Weighted LLTV across markets is 86.0%. Sharp collateral drawdowns can trigger cascading liquidations faster than vault parameters can be adjusted.
Primary loan or collateral asset is a stablecoin. A sustained depeg below 99 cents impacts NAV and disables liquidation routing for non-USD collateral.
Hidden exposure map
What this vault is actually exposed to — including dependencies that are not visible from the strategy name.
WBTC
33%
Lending venueCollateral asset in vault allocations.
wstETH
63%
Liquid stakingCollateral asset in vault allocations.
sDAI
0%
StablecoinCollateral asset in vault allocations.
sUSDS
0%
StablecoinCollateral asset in vault allocations.
cbBTC
4%
Lending venueCollateral asset in vault allocations.
USDT
100%
StablecoinLoan asset supplied by the vault.
Reading this map. Direct exposures are the assets the vault holds or lends against. Indirect dependencies (Tab 3) include the protocols that mint those assets, the oracles pricing them, and the bridges that move them. An incident at any indirect dependency can damage the vault even when the direct collateral looks healthy.
Allocation breakdown
Every market the vault has supplied into, with current LTV, LLTV, oracle, and IRM. Idle balances are listed explicitly.
Markets5+ idle buffer
wstETH / USDT63.0%
WBTC / USDT33.3%
cbBTC / USDT3.7%
sUSDS / USDT0.1%
sDAI / USDT0.0%
idle / USDT0.0%
Stress scenarios
Modeled NAV impact under historical and hypothetical tail events. Each impact = − (shock magnitude) × (vault exposure) × (pass-through). Hover the calculator icon for the per-scenario formula.
Morpho Blue contract vulnerability
rare
computedTail-case: a vulnerability surfaces in Morpho Blue that affects the vault's largest single market (63% of TVL). Modeled at 50% loss on that exposure; full vault is not assumed at risk since markets are isolated.
−50% × 63% (largest market) × 100% pass-through
-31.5%
Recovery patch + governance
63% exposed
Curator misallocation
unlikely
computedCurator routes into a market that develops bad debt or an oracle break. Worst single position is 63.0% of TVL; top-3 concentration is 100%. Modeled at 50% bad-debt recovery on the worst position.
−50% × 63.0% (worst market) × 100% pass-through
-31.5%
Recovery 30–90 days
63% exposed
USDT reserve / depeg
possible
computedTether has repeatedly traded <$0.95 (Oct 2018, May 2022). Recovery is slower than USDC. Mark-to-market loss on 100% of vault TVL (the loan asset is USDT).
−5% × 100% exposed × 100% pass-through (loan-asset shock)
-5.0%
Recovery 14–30 days
100% exposed
Activity
Curator and parameter changes detected by VaultScope's snapshot diff. Refreshed every 6 hours.
Historical analytics
180 trailing days. APY, TVL, utilization, and an APY drawdown view to show how the vault has actually behaved — not just where it sits today.
APY range0.93% – 26.62%
trailing 180d
APY volatility (σ)4.85 pts
standard deviation
Max APY drawdown-96.5%
peak-to-trough
APY trend+0.10 pts
180d delta