Bitwise debuts onchain vault via Morpho, targeting up to 6% yield on USDC

Leading crypto asset management firm Bitwise has officially launched its inaugural onchain yield product, deploying a secure vault in collaboration with the decentralized lending protocol Morpho. The new offering is designed to provide clients with a competitive, yet stable, yield on their USD Coin (USDC) holdings, targeting an annual percentage yield (APY) of up to 6%.

This strategic initiative leverages Morpho Blue, a sophisticated lending primitive known for its capital efficiency and robust collateralization mechanisms. By integrating directly with Morpho, the Bitwise vault facilitates passive lending of USDC, allowing users to earn yield derived from the platform’s established lending markets.

The debut represents a significant step for Bitwise in bridging traditional institutional standards (TradFi) with the innovation inherent in decentralized finance (DeFi). The move signals a growing confidence among major asset managers regarding the security and viability of permissionless DeFi protocols, aiming to lower the barrier for institutions seeking sustainable, onchain returns while maintaining stringent standards of compliance and risk management.

Source: Bitwise debuts onchain vault via Morpho, targeting up to 6% yield on USDC