Moonwell

Author(s): Block Analitica and B.Protocol Related Discussions: Moonwell MetaMorpho Vaults - Next Gen DeFi Lending Superchain Expansion Proposal Submission Date: March 3, 2025

Proposal Summary

Following the success of Moonwell Flagship and Frontier vaults on Base, which currently hold more than $85M in total value locked (TVL) across ETH, USDC, EURC, and cbBTC, this proposal seeks to expand our strategic footprint by accepting ownership of the Flagship Moonwell USDC Vault on OP Mainnet.

With this initiative, we aim to attract USDC depositors, deepen network liquidity for this important stablecoin, and further establish Moonwell as a leading contributor in the Morpho and Superchain ecosystems. The USDC vault is proposed with the same role assignments as those present for existing Flagship vaults. A 15% performance fee will be implemented, with the Moonwell DAO’s share being directed to Moonwell’s USDC Core Market protocol reserves.

This MIP proposes:

1. Accepting ownership of the Flagship Moonwell USDC Vault, expanding Moonwell’s Morpho vault offerings on OP Mainnet.

Background and Rationale

Last summer, MIP-B21 kicked off Moonwell DAO’s collaboration with Block Analitica and B.Protocol, paving the way for the development of the Moonwell Flagship and Frontier series of Morpho vaults. Today, these vaults stand among the largest by TVL in the Base ecosystem, highlighting their strong adoption and significance.

Building on this successful model, we propose expanding to OP Mainnet to attract new capital and USDC users seeking risk-adjusted yield. By being the first to offer a fully integrated Morpho vault experience on OP Mainnet—where the Morpho frontend is currently unavailable—we position ourselves to capture early market share and pave the way for future expansion across Superchain-aligned networks.

This proposal aligns with the Morpho Everywhere expansion plan, which aims to establish Morpho infrastructure across multiple Ethereum L1 and L2 networks, including OP Mainnet. This could be the first of multiple vaults launched by Moonwell DAO and Block Analytica/B.Protocol on Superchain-aligned networks, supporting our broader vision of scaling Ethereum lending infrastructure across the Superchain.

Contract Addresses

• USDC Token: 0x0b2C639c533813f4Aa9D7837CAf62653d097Ff85
• USDC Flagship Vault: 0x3520e1a10038131a3c00bf2158835a75e929642d
• USDC Flagship Vault Fee Splitter: 0x50d3E1BD46235ce1cCf133a74e10cfdc58d49E90

Vault Configuration and Roles

The USDC Flagship Vault will be configured as follows:

• Owner: Moonwell DAO (via the Moonwell Temporal Governor contract)
• Curator: Block Analitica & B.Protocol
• Allocator: Block Analitica & B.Protocol
• Guardian: Moonwell Security Council
• Timelock period: 4 days
• Vault name: Moonwell Flagship USDC Vault
• Symbol: mwUSDC

Proposed Markets

Block Analitica has proposed listing two markets for the USDC vault on OP Mainnet:

wstETH/USDC Market

• Loan token: USDC - 0x0b2c639c533813f4aa9d7837caf62653d097ff85
• Collateral token: wstETH - 0x1F32b1c2345538c0c6f582fCB022739c4A194Ebb
• Oracle: Morpho Chainlink - 0x1ec408D4131686f727F3Fd6245CF85Bc5c9DAD70
• IRM: Adaptive Curve IRM - 0x8cD70A8F399428456b29546BC5dBe10ab6a06ef6
• LLTV: 86%
• Supply Cap: 30M USDC

WETH/USDC Market

• Loan token: USDC - 0x0b2c639c533813f4aa9d7837caf62653d097ff85
• Collateral token: WETH - 0x4200000000000000000000000000000000000006
• Oracle: Morpho Chainlink - 0x1ec408D4131686f727F3Fd6245CF85Bc5c9DAD70
• IRM: Adaptive Curve IRM - 0x8cD70A8F399428456b29546BC5dBe10ab6a06ef6
• LLTV: 86%
• Supply Cap: 30M USDC

These market listings were executed on February 19, 2025, at 10:50:31 AM +UTC and 10:50:17 AM +UTC respectively.

Performance Fee and Incentives

This proposal implements a 15% performance fee for the USDC Flagship Vault, to be split between Block Analitica/B.Protocol and the Moonwell DAO. The Moonwell DAO’s portion will be added to Moonwell’s USDC Core Market protocol reserves on OP Mainnet.

Note that the launch of this new vault does not imply a new WELL token grant for liquidity incentives. However, there may be opportunities to receive OP incentives through initiatives such as Season 7 OP Mainnet Grants Council Grants, which focus on bolstering Superchain TVL.

Implementation

If this proposal passes, the following onchain actions will be executed:

1. Moonwell DAO will accept ownership of the Moonwell Flagship USDC Vault on OP Mainnet.

Voting Options

• For: Accept ownership of Moonwell Flagship USDC Morpho vault on OP Mainnet.
• Against: Reject ownership of Moonwell Flagship USDC Morpho vault on OP Mainnet.
• Abstain

Conclusion

The addition of a USDC Flagship Vault represents a strategic expansion of Moonwell’s offerings on OP Mainnet. By leveraging Morpho infrastructure and the risk management expertise of Block Analitica and B Protocol, we aim to replicate the success of our existing vaults and tap into the growing demand for yield opportunities on OP Mainnet.

By being the first to offer a Morpho-integrated lending experience on OP Mainnet, Moonwell has the potential to capture early market share and expand its influence across the Superchain. Approving this proposal will expand vault offerings, attract new users, and reinforce Moonwell’s position as a leading DeFi app on the Superchain.