Add Morpho’s Aave V2 Optimizer to OETH strategies

Earlier this month, the Origin Protocol released Origin Ether (OETH), an ETH yield aggregator that optimizes yield between liquid staking derivatives and liquidity provision on AMMs. In less than 2 weeks, OETH attracted more than $10m of TVL.

Morpho and Origin Protocol have a long-standing relationship with $17m of OSUD collateral being deposited in Morpho-Aave V2, earning an improved APY.

This RFC proposes allocating part of the OETH’s ETH collateral in Morpho’s Aave V2 Optimizer to earn interest from lending ETH while providing the OETH basket with highly liquid diversification.

In collaboration with the OGV community, we have prepared an evaluation of the strategy below: https://morpho-labs.notion.site/Adding-Morpho-s-Aave-V2-Optimizer-to-OETH-strategies-1e9715f6ede4494db47e5d5665c95f03