New vault
U
Gauntlet USDT Frontier
gtusdtf
EthereumOn peg5V2
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 supply USDT on Ethereum; Gauntlet deploys it entirely into five Morpho Blue lending pools where borrowers post sUSDD, syrupUSDT, stcUSD, wstETH, and cbBTC as collateral to borrow USDT. The vault earns interest from borrowing demand across these pools; rates are set by supply and demand in each market.
Who runs it
Gauntlet runs this vault—a risk-focused curator known for conservative collateral selection and deterministic scoring frameworks.
Where the yield comes from
The 2.95% APY comes from borrowing fees across the five pools, with heaviest demand against sUSDD (90% utilization, 44% of vault) and cbBTC (90% utilization, 20% of vault); zero idle cash means 100% of deposits are lent out.
What could break it
The vault is 100% stablecoin collateral risk—three synth/liquid-staking derivatives (sUSDD, syrupUSDT, stcUSD) represent 81% of deployed capital, plus wstETH and cbBTC each at 20%. Depeg or depegging of any three would cascade losses; high utilization (76–90%) across pools leaves thin buffers before liquidation triggers at LLTV 86–92%.
Who this is for
Good fit for yield-seeking stablecoin holders accepting liquidation-cascade risk in exchange for 2.95% APY with no idle drag; avoid if you require capital preservation or low-latency exit liquidity.
USDT is trading within normal range. Both market spot and Chainlink agree this vault's loan asset is on peg — no peg risk affecting NAV right now.
On peg5/100
Spot (market)$0.998911 bps below peg · CoinGecko
Oracle (Chainlink)$0.99928 bps below peg · What Morpho liquidates against
Spot ↔ oracle gap3 bpsSources agree
Score · 5/100
max(price, vault health) · saturates at 200 bps
Issuer-side vault health · USDTOn peg0/100
Tether USDT contract is operational — no pause flag set.
Source: TetherPause state: operationalcomposite severity healthy
Risk decomposition
How the composite risk score breaks down. Every number traces to an explicit input — /methodology documents each factor's formula.
mainstream31/100
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
The Gauntlet USDT Frontier Vault targets maximum yield by allocating to potentially higher volatility yield sources that may face liquidity risks in exchange for greater returns. The vaults risk strategy follows Gauntlets Frontier framework whereby we curate supply to aggressively target higher yields while managing security to provide an aggressive risk profile at competitive APYs.
Where the yield comes from
Morpho V2 vault — wraps downstream Morpho markets and V1 vaults via adapters.
Why they may not
Some V2 adapters point at Morpho Blue markets directly; their underlying market detail isn't resolvable in the universe-level fetch, so this vault carries a V2 opacity surcharge in the risk model.
Hidden exposure map
What this vault is actually exposed to — including dependencies that are not visible from the strategy name.
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.
Markets11+ idle buffer
sUSDD / USDT44.5%
syrupUSDT / USDT40.9%
stcUSD / USDT36.3%
wstETH / USDT20.0%
cbBTC / USDT20.0%
sUSDS / USDT20.0%
weETH / USDT15.5%
WETH / USDT2.6%
wsrUSD / USDT0.2%
PT-USDG-28MAY2026 / USDT0.0%
WBTC / 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 contract vulnerability
rare
computedTail-case: a vulnerability surfaces in Morpho V2 that affects the vault's largest single market (36% of TVL). Modeled at 50% loss on that exposure; full vault is not assumed at risk since markets are isolated.
−50% × 36% (largest market) × 100% pass-through
-18.1%
Recovery patch + governance
36% exposed
Curator misallocation
unlikely
computedCurator routes into a market that develops bad debt or an oracle break. Worst single position is 36.3% of TVL; top-3 concentration is 82%. Modeled at 50% bad-debt recovery on the worst position.
−50% × 36.3% (worst market) × 100% pass-through
-18.1%
Recovery 30–90 days
36% exposed
USDT reserve / depeg 5%
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
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 $0M idle buffer (19% of $1M TVL). $50M of the $50M request queues; the redeemer takes a ~0.81% forced-exit discount weighted across collateral mix plus 11-day TVM cost. $49M of the request exceeds the vault's $1M TVL and cannot be redeemed at all.
queued 100% of $50M × (0.81% forced-exit discount + 0.28% TVM over 11.3 days at 9.1% rate)
-1.1%
Recovery 0–14 days (queue depth)
100% exposed
LRT discount 20%
unlikely
computedAn operator slashing or AVS misbehavior creates a discount in the LRT collateral. 15.5% of TVL is in liquid restaking token (LRT) markets (weighted LLTV 86%). A 20% collateral shock translates to ~0.23% NAV loss after the 14-pt LLTV buffer absorbs liquidation-clearable price moves.
−20% × 15.5% exposed × 7% pass-through (LLTV 86%)
-0.2%
Recovery 30–90 days
15% 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
0.00%
Fee recipientAddress that collects the performance fee
not configured
Skim recipientReceives stray non-loan-asset tokens swept from the vault
not configured
Deployed6 mos on-chain
Nov 28, 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% – 9.34%
trailing 180d
APY volatility (σ)1.36 pts
standard deviation
Max APY drawdown-100.0%
peak-to-trough
APY trend-2.43 pts
180d delta