Loading
Sharpe FinanceDID YOU KNOWnext in 7s
Stablecoin issuers are now among the top 20 holders of US Treasury bills.
Morpho Blue · Aave V3 · 11 chains · scoring refreshed every 5 min
Stablecoin issuers are now among the top 20 holders of US Treasury bills.
tBTC supply on Aave V3 (Ethereum). Read-only on Sharpe — deposits, withdrawals, and borrows execute on app.aave.com. We surface parameters, rates, and risk so you can compare this reserve against Morpho vaults on the same asset cohort.
Plain-English summary of this vault — what it does, who runs it, where the yield comes from, and what could break it. Generated from the same deterministic inputs shown elsewhere on this page; the numbers are the source, this is just the explanation.
You deposit tBTC (wrapped Bitcoin from Threshold) on Ethereum and it gets lent to borrowers who pay 0.26% variable APY; your supply rate is 0.00% because utilization is only 0.2%, meaning almost no one is borrowing right now. Your deposit is enabled as collateral, so borrowers can use it to backstop loans up to 73% of its value, but you earn nothing until borrow demand rises. You can redeem your tBTC anytime as long as $138.71M in liquidity remains available—which it does today.
Aave governance (Risk Council and BGD Labs) has not flagged tBTC for depeg or custody risk, and the reserve is active with no pause or freeze in effect.
The supply APY is borrow demand (0.26% × 0.2% utilization, minus 50% reserve factor to Aave's treasury) = 0.00% rounded. With utilization at 0.2%, rates are extremely low and likely to stay flat unless borrowing suddenly accelerates.
Supply cap is at 96% of consumption—further deposits will revert once the cap fills. Threshold controls tBTC's minting and can theoretically halt issuance; the Chainlink oracle prices tBTC against ETH and has no secondary fallback.
Good fit only if you believe borrow demand will surge and you're willing to hold at 0% APY until it does; avoid if you need immediate yield or have low conviction on tBTC adoption.
On Aave V3, a supplier can withdraw up to the reserve's available liquidity instantly. Above that, the withdrawal must wait for borrowers to repay or new suppliers to deposit. Markets at 95%+ utilization can keep large redemptions waiting for hours to days at current rates.
Reserve parameters are set by Aave governance (BGD Labs + Aave Chan Initiative + Risk Council). Listings, caps, IRM curves, and LLTVs change through on-chain votes.
On Aave V3, supply APY = borrow APY × utilization × (1 − reserve factor). There is no curator skim; the only intermediation cost is the reserve factor, which funds the Aave treasury. No emissions slice in v1 of this integration — the headline is fully sustainable.
Aave V3 reserves carry parameter risk (LTV/LLTV adequacy vs collateral volatility), liquidity risk (high utilization slows exit), and depeg risk on the underlying. Governance can pause / freeze / adjust caps in response to incidents. Sharpe's full risk decomposition for Aave reserves rolls in v1.1.
How the composite risk score breaks down. Every number traces to an explicit input — /methodology documents each factor's formula.
Per-collateral decomposition: Sharpe-style realized σ from 30 daily log returns, blended 50/50 with the asset-taxonomy tier fallback. Phase 2 will replace the tier slot with liquidity depth, mechanism classification, and holder concentration. Methodology in /methodology.
The honest version. Every structural failure mode this vault is exposed to, ranked by severity. If you want to know whether to invest, start here.
Supply cap is 96% filled. New deposits revert once the cap binds; cap raises require an on-chain governance vote.
Aave V3 prices and liquidations route through Chainlink's aggregator feed for this asset. A stale, manipulated, or wrong-side update is the protocol's largest single-point-of-failure for this reserve. Chainlink has a strong track record but the failure mode is binary.