New vault
A
August AUSD V2
augustAUSDv2
EthereumV2
Morpho official alerts
2 critical, 1 caution alerts from Morpho's risk team
- Deposits disabledREDVault-level
Morpho has flagged this vault as not accepting deposits. Existing positions remain on-chain but new capital is being turned away — usually a curator-initiated wind-down or response to an active issue. Inherited from the V2 → V1 adapter route into August AUSD.
- Unrealized bad debtREDRLP / AUSD
Morpho has detected positions in this market whose debt exceeds collateral value. Until liquidations clear, the loss is sitting on suppliers — vault APY and NAV may not yet reflect it. Inherited from the V2 → V1 adapter route into August AUSD.
- Unrecognized Collateral AssetYELLOWupGAMMAusdc / AUSD
Morpho has flagged the upGAMMAusdc / AUSD market: unrecognized_collateral_asset. Inherited from the V2 → V1 adapter route into August AUSD.
AI vault read
Plain-English summary of this vault — what it does, who runs it, where the yield comes from, and what could break it. Generated from the same deterministic inputs shown elsewhere on this page; the numbers are the source, this is just the explanation.
What this vault does
Depositors put AUSD (a stablecoin) into this vault, which lends it out to borrowers on Morpho Blue who post upGAMMAusdc (92% of the vault's deployment) and RLP tokens as collateral. The lending rate floats with demand; the vault captures the spread between what borrowers pay and what depositors earn.
Who runs it
August Digital runs this vault, currently deploying nearly all deposits into a single market (upGAMMAusdc at 90% utilization) with tight liquidation thresholds (92% LLTV).
Where the yield comes from
The 102.58% APY comes from borrowing demand against upGAMMAusdc and RLP collateral, with zero idle cash — all deposits are lent out. No incentive program is listed.
What could break it
The vault is concentrated in upGAMMAusdc (92% of capital), a complex token whose price movements trigger liquidations at 92% LTV. Morpho has flagged unrealized bad debt and unrecognized collateral assets. AUSD itself is not a tracked stablecoin, adding counterparty risk.
Who this is for
Avoid. The combination of deposits disabled, flagged bad debt, unrecognized collateral, and extreme concentration in a single borrowed asset makes this unsuitable for institutional allocation.
Risk decomposition
How the composite risk score breaks down. Every number traces to an explicit input — /methodology documents each factor's formula.
critical80/100
Warning floorfloor
Hard min from Morpho's own flags on the vault or its active markets.
Structuralweight 28%
Share-weighted collateral quality + LLTV buffer adequacy. Correlation-aware.
Liquidationweight 20%
Headroom (1 − LLTV) measured in σ-units of 30d realized vol, amplified by utilization.
Yield anomalyweight 20%
Peer-cohort z-score plus absolute-yield band. Excess yield is risk you may not yet model.
Concentrationweight 12%
Market HHI + asset-class HHI + curator's universe TVL share.
Liquidityweight 10%
Util curve position, share locked above 95%, idle buffer.
Maturityweight 10%
Vintage + TVL-time integral. V2 vaults carry an opacity surcharge.
Depeg floorfloor
Hard min from active depeg signal on the loan asset.
Composite = max(Σ weighted + floors). Warning and depeg floors are hard minimums; the weighted sum of the structural factors is the base. A floor highlighted in amber means it is what determines the final score — the protocol or peg signals are louder than our structural model.
Plain English explanationWritten by VaultScanner research · model card · last update 2026-05-12
What this vault actually does
Curated by August Digital the August AUSD Vault strategically allocates AUSD liquidity across a diversified set of markets that have been rigorously reviewed and underwritten by our risk team using an adapted CME SPANstyle framework. Target markets include Upshift receipt tokens as well as blue-chip collateral such as stETH and other high-quality assets.
Where the yield comes from
Morpho V2 vault — wraps downstream Morpho markets and V1 vaults via adapters.
Hidden exposure map
What this vault is actually exposed to — including dependencies that are not visible from the strategy name.
AUSD
100%
Lending venueLoan 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.
Markets12+ idle buffer
upGAMMAusdc / AUSD91.7%
RLP / AUSD8.3%
cbBTC / AUSD0.0%
wstETH / AUSD0.0%
msY / AUSD0.0%
WBTC / AUSD0.0%
AA_FalconXUSDC / AUSD0.0%
syrupUSDC / AUSD0.0%
upUSDC / AUSD0.0%
wsrUSD / AUSD0.0%
sNUSD / AUSD0.0%
syzUSD / AUSD0.0%
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 contract vulnerability
rare
computedTail-case: a vulnerability surfaces in Morpho V2 that affects the vault's largest single market (92% of TVL). Modeled at 50% loss on that exposure; full vault is not assumed at risk since markets are isolated.
−50% × 92% (largest market) × 100% pass-through
-45.8%
Recovery patch + governance
92% exposed
Curator misallocation
unlikely
computedCurator routes into a market that develops bad debt or an oracle break. Worst single position is 91.7% of TVL; top-3 concentration is 100%. Modeled at 50% bad-debt recovery on the worst position.
−50% × 91.7% (worst market) × 100% pass-through
-45.8%
Recovery 30–90 days
92% exposed
Exotic / tranche collateral shock 25%
possible
computedThese collateral types absorb first-loss in their underlying strategies; failures in the strategy show up here first. 100.0% of TVL is in exotic / tranche (RLP, Upshift wrappers, etc.) markets (weighted LLTV 91%). A 25% collateral shock translates to ~4.23% NAV loss after the 9-pt LLTV buffer absorbs liquidation-clearable price moves.
−25% × 100.0% exposed × 17% pass-through (LLTV 91%)
-4.2%
Recovery 30–180 days
100% exposed
V2 adapter routing failure
rare
computedV2 vaults route through adapters into downstream venues. A misbehaving adapter (paused, drained, or pointing at a compromised target) can lock or mismark a portion of the vault until governance acts.
−4% × 100% (adapter-stack-wide assumption; refined when per-adapter shares are available)
-4.0%
Recovery operational
100% exposed
$50M same-day redemption
possible
computedVault has $1M idle buffer (9% of $8M TVL). $49M of the $50M request queues; the redeemer takes a ~2.50% forced-exit discount weighted across collateral mix plus 13-day TVM cost. $42M of the request exceeds the vault's $8M TVL and cannot be redeemed at all.
queued 99% of $50M × (2.50% forced-exit discount + 0.33% TVM over 12.7 days at 9.5% rate)
-2.8%
Recovery 0–14 days (queue depth)
99% exposed
Redemption queue under stress
possible
computed100% of TVL is in markets running >85% utilization. Redemption requests on that slice queue until borrowers repay; remaining LPs absorb a small forced-exit discount.
~1% forced-exit discount × 100% (stressed markets only)
-1.0%
Recovery 1–7 days
100% exposed
Governance & configuration
On-chain contracts, control surface, and per-market parameters. The diligence checklist surface — every value here is what an allocator needs to copy into a memo before sizing a deposit.
Vault contractMetaMorpho v1 on Morpho Blue
Chain
Ethereum
CuratorRisk team setting market allocations
OwnerCan change curator, guardian, and timelock (after delay)
—
GuardianCan pause and revoke allocations if compromised
not configured
TimelockDelay before owner-initiated parameter changes take effect
none
Performance feeCurator's cut of generated yield
0.25%
Fee recipientAddress that collects the performance fee
not configured
Skim recipientReceives stray non-loan-asset tokens swept from the vault
not configured
Deployed5 mos on-chain
Dec 15, 2025
One-click redeem
available
Morpho app
Market parameters (12)
Oracle, IRM, and LLTV per Morpho Blue market the vault routes into. Click an address to inspect the contract on a block explorer.Activity
Curator and parameter changes detected by VaultScanner'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 range0.00% – 101.86%
trailing 180d
APY volatility (σ)27.03 pts
standard deviation
Max APY drawdown-100.0%
peak-to-trough
APY trend-77.62 pts
180d delta