[SIP2.27] Full Support for Morpho ARKs on Arbitrum

Overview

Onboard all Morpho Vaults (ARKs) on Arbitrum across USDC, USDT, and WETH (ETH) to make Lazy Summer the default destination for Arbitrum-native yield via Morpho. This aligns the protocol with Morpho’s multichain push and supports co-promotion.

Motivation

  • Coverage = value prop: Listing all live Morpho ARKs on Arbitrum gives users complete access without hunting per curator.
  • Timing + momentum: Morpho governance has proposed incentives for Arbitrum, which could accelerate deposits and activity.
  • Note on liquidity today: Many Arbitrum ARKs are newly deployed with low TVL/liquidity at the moment; we expect this to evolve as incentives and awareness ramp.

Specification

USDC Fleet (Arbitrum)

New Ark Fleet Network Risk Level
Morpho Gauntlet USDC Prime USDC Arbitrum Pending @BlockAnalitica classification
Morpho Gauntlet USDC Core USDC Arbitrum Pending @BlockAnalitica classification
Morpho Yearn OG USDC USDC Arbitrum Pending @BlockAnalitica classification
Morpho Steakhouse Prime USDC USDC Arbitrum Pending @BlockAnalitica classification
Morpho MEV Capital USDC USDC Arbitrum Pending @BlockAnalitica classification

USDT Fleet (Arbitrum)

New Ark Fleet Network Risk Level
Morpho Gauntlet USDT0 Core USDT Arbitrum Pending @BlockAnalitica classification
Morpho MEV Capital USDT0 USDT Arbitrum Pending @BlockAnalitica classification

WETH (ETH) Fleet (Arbitrum)

New Ark Fleet Network Risk Level
Morpho Gauntlet WETH Core WETH (ETH) Arbitrum Pending @BlockAnalitica classification
Morpho Yearn OG WETH WETH (ETH) Arbitrum Pending @BlockAnalitica classification
Morpho MEV Capital WETH WETH (ETH) Arbitrum Pending @BlockAnalitica classification
Morpho Steakhouse Prime ETH WETH (ETH) Arbitrum Pending @BlockAnalitica classification

Risk Assessment

Minilmal new protocol risks as all are supported currently. Risk caps will need to determined on a per ARK basis by @BlockAnalitica

Voting

  • YES: Onboard the Morpho Arbitrum ARKs listed above across USDC, USDT, and WETH (ETH), subject to Block Analitica classification and caps/parameters.
  • NO: Make no changes.
5 Likes

Big supporter of all these.

Only note really is that currently we do not have an ETH Vault on Arbitrum. So that would need to be made first.

Btw, @samehueasyou - are these not duplicatd from SIP2.26? I see the same USDC and USDT ones listed in that SIP too?

1 Like

I am supportive of expanding Morpho coverage on Arbitrum as expressed here:

I would like to also echo @chrisb’s observation, since there’s no ETH vault on Arbitrum yet, that would need to be proposed/deployed (via SIP1.Y) before any WETH ARKs can actually go live.

I now understand that the repetition of the ARKs from SIP2.26 is in order to show full support for the Morpho ARKs proposed.

In order to avoid governance overhead from overlapping proposals if they’re functionally the same, I would propose to focus on the SIP2.26 and rewriting/proposing deployment of ETH Fleet on Arbitrum (SIP1.Y), followed by proposal SIP2.Y to include the proposed strategies into the new ARK upon deployment.

Curious about thoughts from @Recognized_Delegates and risk assessment of @BlockAnalitica!

3 Likes

I am supportive of the addition of an ETH Fleet on Arbitrum, especially with the approval of Morpho Rewards on Arbitrum; we could capture a decent amount of TVL with the additional yield the rewards will generate for this fleet.

1 Like