USD.ai sUSDai is an ERC-4626/ERC-7540 yield-bearing vault on Arbitrum that stakes USDai, a synthetic dollar backed by M0 Protocol's $M token. Yield is generated from GPU-collateralized infrastructure loans to AI compute operators, structured through bankruptcy-remote SPVs with UCC-1 filings, plus T-bill yield on idle capital. The protocol is built by Permian Labs and uses MetaStreet lending pools with a FiLo first-loss curator model.
AUM
$330m
Net APY
7.89%
Active Users
4k
Type
Vault
Network
Arbitrum
CCC-
High RiskCeiling BB+
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CurrentPotential
This rating is based solely on publicly available information. DeFi protocol risk assessed across Security, Strategy and Operations on the AAA–D scale. The range from CCC- to BB+ reflects the gap between the current assessment and the potential rating achievable if all identified improvement areas are addressed.
SCSSmart Contract Security78
KMPKey Management Permissions39
MMarket69
LLiquidity36
CCollateral56
PMProtocol Mechanics70
ICEInfra Counterparty Exposures52
PCEProtocol Counterparty Exposures29
GGovernance44
FRFinancial Resilience24
TLCTeam Legal Compliance60
DTDocumentation Transparency78
Performance
Assets Under Management · 30D▲ 11.77%
$330m
Over the last 30 days, the total value of USD.ai sUSDai has grown 11.77% with $34.77M in inflows.
Net APY · 30D▲ 10.22%
7.89%
Over the last 30 days, the APY has increased from 7.16% to 7.89%.
Active Users · 30D▲ 0.00%
4k
Over the last 30 days, active users have increased by 0.00%, reaching 3.5K wallets.
Market Details
ChainArbitrum
TreasuryNot reported
Code AuditsCantina ↗Quantstamp ↗KTL ↗
Oracles UsedChainlink ↗
Stated Withdrawal Time30 days
Infrastructure ProviderMetaStreet
Component Ratings
Contract Addresses
Smart Contract0x0B2b...955ef9
LoanRouter0x0C2E...9597D1
USDaiToken0x0A1a...ed82EF
PriceOracle0xd40a...741EBc
ChipGovernor0x0DDC...847b26
BaseYieldEscrow0x9Ddf...4b1A9E
DepositTimelock0x0D71...23c9F8
USDaiProxyAdmin0x2ddf...aadc3c
Key Strengths
S1Full admin stack verified on-chain with STRATEGY_ADMIN held by a 3-of-4 Gnosis Safe, DEFAULT_ADMIN/PAUSE_ADMIN held by a separate 3-of-3 Safe, proxy upgrades behind a 1-day Upgrade Timelock, and governance actions behind a 3-day Chip Timelock. No single-key risk exists.
S2Extensive audit coverage from top firms (Cantina, Quantstamp, plus additional reports) with zero critical or high findings and high remediation rate. An active six-figure bug bounty with substantial researcher engagement runs on Cantina.
S3Comprehensive risk framework documented including collateral tokenization, a first-loss curator model, conservative LTV limits, debt service reserve accounts, mandatory insurance, and an aggressive GPU amortization schedule.
S4No leverage or rehypothecation on the depositor side, no on-chain liquidation mechanism, and zero directional crypto market exposure. Yield derives entirely from GPU infrastructure loans and T-bill backing.
Key Risks
R1Off-chain execution dependency for loan origination, GPU collateral custody in data centers, default enforcement via physical hardware liquidation, and legal remedy relying on untested UCC Article 7 bailment receipts that have never been challenged in court.
R2sUSDai redemptions require the admin multisig to process a 30-day FIFO queue; if the multisig becomes unavailable the exit path is blocked entirely with no permissionless alternative. A thin secondary market offers only limited bypass capacity.
R3Small multisig signer pool: 4 total distinct signers across both admin Safes, below the threshold typically required for low-risk scoring. Signer identities are also not publicly linked to the organizations claimed in the team application.
R4Short 1-day upgrade timelock on proxy upgrades, below the multi-day window typically required for users to respond. The longer governance timelock applies only to the on-chain governor, not to proxy upgrades.
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