[IP] Proposal to Optimize USDC+ Yield via Basket Adjustment and Integration with Morpho Blue

As the DeFi landscape evolves, it’s essential to continuously assess and optimize the asset allocations to maximize returns. This proposal addresses the need to enhance the yield of the USDC+ rToken, aiming to adjust the basket of assets backing USDC+ by replacing certain components with more profitable alternatives, specifically incorporating USDC Morpho Blue curated by Steakhouse.

Proposed Changes:

  1. Remove fUSD from Flux Finance: Due to its lower yield performance, remove fUSD from the USDC+ basket. This action will help eliminate an underperforming asset, thereby reducing drag on the overall yield of USDC+.

  2. Add USDC Morpho Blue Curated by Steakhouse: To replace fUSD, integrate USDC Morpho Blue into the basket. USDC Morpho Blue is a high-yield USDC variant managed by Steakhouse, which leverages Morpho Blue’s lending protocol to offer superior returns.


  • Enhanced Yield: By incorporating USDC Morpho Blue, USDC+ is expected to benefit from higher interest rates available through Morpho Blue’s optimized lending mechanisms.
  • Risk Management: Morpho Blue’s lending approach provides an added layer of risk mitigation compared to traditional pools.
  • Strategic Partnerships: Collaborating with Steakhouse for the curation of USDC Morpho Blue opens up further opportunities for synergy and enhanced performance.

Expected Impact:

The proposed adjustments to the USDC+ basket are anticipated to significantly improve the overall yield, making USDC+ more attractive to both current and potential holders.

  • YAE
  • NAE
0 voters

I support this proposal. While I am a fan of Flux Finance the borrow rates for fUSDC don’t scale with utilization, and thus should be removed from the basket. USDC Morpho Blue is a great alternative.


I support.

Good to see USDC+ enhancing yield, improving risk managementand opening up partnership opportunities.


Steakhouse USDC on Morpho Blue


Nice catch, this will definitely help USDC+!
I support this proposal too.

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