Morpho Moonwell Flagship USDC DeFi Yield & Risk Rating
Moonwell Flagship USDC is a Morpho Vaults V1 (ERC-4626) vault on Base that accepts USDC deposits. Yield is generated from borrower interest paid in underlying Morpho Blue lending markets allocated dynamically across blue-chip collateral. The vault is curated by Block Analitica and B.Protocol and governed by the Moonwell DAO.
AUM
$4m
Net APY
3.88%
Active Users
4k
Type
Vault
Network
Base
BB
Elevated RiskCeiling A+
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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 BB to A+ reflects the gap between the current assessment and the potential rating achievable if all identified improvement areas are addressed.
SCSSmart Contract Security82
KMPKey Management Permissions92
MMarket83
LLiquidity100
CCollateral78
PMProtocol Mechanics85
ICEInfra Counterparty Exposures78
PCEProtocol Counterparty Exposures87
GGovernance83
FRFinancial Resilience87
TLCTeam Legal Compliance78
DTDocumentation Transparency100
Performance
Assets Under Management · 30D▼ 44.03%
$4m
Over the last 30 days, the total value of Morpho Moonwell Flagship USDC has dropped 44.03% with $3.49M in outflows.
Net APY · 30D▼ 9.13%
3.88%
Over the last 30 days, the APY has decreased from 4.27% to 3.88%.
Active Users · 30D▼ 51.52%
4k
Over the last 30 days, active users have decreased by 51.52%, reaching 3.7K wallets.
Market Details
ChainBase
Treasury$10.40M
Code AuditsOpenZeppelin (MetaMorpho) ↗Spearbit (MetaMorpho) ↗Cantina Competition (MetaMorpho) ↗OpenZeppelin (Morpho Blue) ↗Spearbit (Morpho Blue) ↗Cantina Competition (Morpho Blue) ↗Certora Formal Verification ↗
Asset ManagerBlock Analitica + B.Protocol
Stated Withdrawal TimeInstant
Infrastructure ProviderMorpho
Component Ratings
Contract Addresses (10)
Key Strengths
S1Underlying Morpho Blue is an immutable singleton contract with no admin keys, audited by top firms plus independent formal verification
S2The MetaMorpho V1 vault contract was independently audited by multiple top firms, including a public audit competition
S3A multi-day on-chain timelock applies to parameter changes, and a Security Council Guardian multisig can veto pending changes before they take effect
S4Every allocated market is priced by Chainlink oracles with no hardcoded prices, conservative liquidation thresholds, and per-market on-chain supply caps
Key Risks
R1Roughly half of the underlying collateral is custodially wrapped BTC dependent on a single custodian, placing wrapped-asset exposure in an elevated band and marking the main difference from the sibling ETH vault — see the on-chain allocation
R2The parent foundation operates a separate lending protocol that suffered repeated oracle exploits within months; this Morpho vault was not affected, but the pattern weighs on monitoring, incident-response and manager-history assessments
R3The bug bounty program was removed in early 2025 ahead of those incidents; only Morpho's underlying bounty covers the vault contract code
R4Per-market oracle adapters are immutable by design, so a failing oracle can only be addressed by zeroing the supply cap and migrating rather than swapping the feed in place
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