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Morpho Watch

M1 USDCV2

A Morpho V2 vault on Ethereum that lends out USDC deposits, curated by Waterline. Depositors earn 7.07% a year right now after a 5% performance fee.

Data from Morpho's API · updated

Net APY

7.07%

after fees, paid to depositors

30-day APY

8.03%

7-day 7.32%

Deposits

$8.63M

8.63M USDC

Withdrawable now

$1.22M

14% of deposits

Performance fee

5%

of the interest earned

Depositors

19

largest holds 52.9%

Open in the Morpho app ↗Earnings calculator

M1 USDC APY history

Net APY earned each day, measured from the vault's share price

Deposits over time

Where the money goes

The markets this vault lends to right now, largest first

MarketLentShareSupply APYUtilizationCap
mM1-USD / USDCLLTV 86% $8.63M 100.0% 7.45% 86.4% –
cbBTC / USDCLLTV 86% $846 <0.01% 4.50% 90.2% –

The curator decides which markets the vault may use and how much it may put in each (the cap). Allocators then move money between those markets within the caps. How vaults work.

What the loans are backed by

Share of this vault's lending by the collateral borrowers put up

mM1-USD100.0%
cbBTC<0.01%

Returns over time

Net APY actually earned over each period, from the share price

Last day7.10%
Last 7 days7.32%
Last 30 days8.03%
Since the vault started6.72%

Who controls this vault

CuratorWaterline
Owner0x5c48…92FC
Timelock to raise a cap7 dayswait before more can go into a market
Timelock to add an adapter7 dayswait before a new kind of investment
Timelock to raise feesNone
Allocators3addresses that move money between markets
Sentinels3can pull money back or cut caps in an emergency
Pending changes1SetSendAssetsGate from July 3, 2026
CreatedJune 19, 2026

Timelocks give depositors time to leave before a change they dislike takes effect. Morpho risks explained.

Details

Deposit assetUSDCprice $0.9999
Vault versionMorpho Vault V2
APY before fees7.45%
Vault contract0xAb59…616C
USDC token0xA0b8…eB48
NetworkEthereum

The curator's description: "The M1 USDC vault is designed to provide liquidity against M1-related collateral assets. Deposits are restricted to allowlisted participants."

Largest depositors

19 addresses hold shares in this vault

AddressDepositShare of vault
0xB60E…700c$4.57M52.9%
0x53E4…a4B5$3.42M39.6%
0xc9eA…82D2$532K6.2%
0x815D…210a$77.4K0.9%
0xBBBe…c019$7.6K0.1%
0x255c…085a$7.6K0.1%
0x2E64…c1c5$6.3K0.1%
0x4215…7549$3.0K0.0%
0x3ec8…4e3A$3.0K0.0%
0xF198…8E5E$2.9K0.0%

When a few addresses hold most of a vault, one large withdrawal can use up the liquidity that is free right now.

About M1 USDC

M1 USDC is a Morpho V2 vault on Ethereum, created on June 19, 2026. It takes USDC deposits and lends them to borrowers in 2 Morpho markets. The curator, Waterline, decides which markets it may use and how much can go into each.

It holds $8.63M (8.63M USDC) from 19 depositors and pays a net APY of 7.07% after its 5% performance fee. Over the last 30 days depositors actually earned 8.03% a year.

Its largest position is mM1-USD / USDC at 100% of what it lends, followed by cbBTC / USDC (<0.01%). Counting every market, its loans are backed mainly by mM1-USD (100%) and cbBTC (<0.01%). 14% of deposits could be withdrawn right now.

Risky changes, such as adding a market, wait behind a 7-day timelock on raising caps, which gives depositors time to leave first. Morpho's app shows no warnings for this vault.

M1 USDC: quick answers

What is the APY of M1 USDC on Ethereum?

M1 USDC pays 7.07% net APY right now, after its fees. Measured from the growth of its share price, it paid 8.03% over the last 30 days. The rate changes every day with what its borrowers pay.

What does M1 USDC lend against?

It lends USDC through 2 Morpho markets. The biggest is mM1-USD / USDC with 100% of its lending. Overall its loans are backed mainly by mM1-USD (100%) and cbBTC (<0.01%).

Can I withdraw from M1 USDC right now?

About $1.22M of its $8.63M in deposits (14%) could be withdrawn immediately. The rest is lent out and frees up as borrowers repay or as higher rates bring in new lenders.

Who runs M1 USDC and what does it charge?

Waterline curates it. It keeps 5% of the interest earned as a performance fee. The net APY shown is after these fees.

What are the risks of M1 USDC?

Like every Morpho vault, it can lose money if a borrower's collateral crashes faster than it can be liquidated, if a price oracle fails, or through a smart contract bug. Withdrawals can wait when its markets are fully borrowed. Changes to it wait behind a 7-day timelock on raising caps. This is not advice.

Other USDC vaults

The same deposit asset, other curators and networks

All USDC options →
Vault Deposits Net APY 30-day APY Fee Withdrawable
Steakhouse Prime USDCV2Steakhouse Financial · Base · $444.1M $444.1M444.10M USDC 4.31% 4.35% 0% $164.7M
Steakhouse High Yield USDC EditionV2Steakhouse Financial · Base · $442.2M $442.2M442.23M USDC 2.85% 2.87% 25% $39.69M
Gauntlet USDC PrimeGauntlet · Base · $415.1M $415.1M415.14M USDC 4.31% 4.35% 0% $177.0M
Spark USDC VaultSparkDAO · Base · $307.1M $307.1M307.08M USDC 3.87% 3.91% 10% $164.7M
Gauntlet USDC PrimeV2Gauntlet · Base · $178.8M $178.8M178.87M USDC 4.31% 4.35% 0% $164.7M
Steakhouse USDCSteakhouse Financial · Base · $126.7M $126.7M126.67M USDC 3.22% 3.25% 25% $126.6M
Steakhouse Prime USDCV2Steakhouse Financial · Ethereum · $123.3M $123.3M123.30M USDC 4.51% 4.31% 0% $33.10M
Gauntlet USDC PrimeV2Gauntlet · Ethereum · $99.19M $99.19M99.20M USDC 4.51% 4.31% 0% $33.10M