Proposal: Reallocate USDC from the Steakhouse USDC Vault to the Gauntlet USDC Prime Vault on Morpho

Summary

Approve a new Morpho Vault strategy and authorize the Guardian to reallocate up to 100% of OUSD's USDC from the Steakhouse USDC vault to the Gauntlet USDC Prime vault.

Background

We recently allocated 2,683,084 USDC into the Steakhouse USDC vault which has provided us a good experience and a good yield. However, considering there is now a Gauntlet vault on Morpho Vaults with similar parameters, I suggest that we move over our funds to their vault instead due to the following reasons:

• Gauntlet has proven to be a reliable and effective partner in fostering the growth of our products.
• They have a very good reputation in the industry.
• Maintain a strategic alignment with a trusted partner.

Both the Gauntlet USDC Prime Vault and the Steakhouse USDC Vault share a similar risk profile and yield potential. However, there are some key differences:

Total Value Locked: The Gauntlet vault currently has a smaller TVL compared to the Steakhouse vault, allowing us to diversify by supporting a smaller, strategic partner.

Asset Exposure:

• The Gauntlet vault has whitelisted sDAI as a potential asset for allocation.
• The Steakhouse vault includes USDm as an option.
• Currently, neither vault has any capital allocated to these respective assets, so the risk exposure remains equivalent as they utilize WBTC, cbBTC, and wstETH as collateral.

Unless there are any objections, I suggest we whitelist the Gauntlet USDC Prime vault as an OUSD strategy. When the strategy is built and deployed, we proceed to migrate the capital fully to the new vault.

Conclusion

This proposal enables Origin to strengthen its strategic partnerships and maintain competitive low-risk yield-generating opportunities for OUSD. Unless objections are raised, I recommend proceeding with the whitelisting and subsequent reallocation as outlined.

This proposal was authored by DegenSensei *