USDC Lending (Morpho Blue)

Where the yield comes from

The reported yield primarily comes from borrower interest paid into this lending market.

What can reduce the rate

Yield may fall if borrowing demand decreases or token incentives are reduced.

Risk detail

Yield.ly's risk assessment summarizes observable factors and data coverage. It is not an audit, credit rating, guarantee, or recommendation. Smart contracts, assets, protocols, custodians, and market conditions can fail in ways the model does not detect.

Risk dimensions

• ProtocolModerate concern+
• GovernanceModerate concern+
• Oracle dependencyModerate concern+
• AssetModerate concern+
• LiquidityHigher concern+
• Rate durabilityModerate concern+
• ExposureModerate concern+
• Custody and counterpartyUnknown+
• Terms and redemptionUnknown+
• InterconnectionModerate concern+
• Data qualityModerate concern+

Principal risks

• An emergency pause authority exists with broad scope.
• Oracle appears to rely on a single manipulable source.

Exposure

Exposure type

Multi-asset position

Assets

USDC + USDC + USDC + USDC

User deposits USDC. User deposits USDC. User deposits USDC. User deposits USDC. Funds enter Morpho Blue on ethereum. Morpho Blue depends on Chainlink oracle. Contracts are upgradeable or governance-controlled. USDC introduces Circle and banking partners custodian exposure. USDC introduces Circle and banking partners custodian exposure. USDC introduces Circle and banking partners custodian exposure. USDC introduces Circle and banking partners custodian exposure. Exit via withdrawal from lending market.

Exit conditions

Flexible withdrawal is typical for lending markets unless a lockup is reported.

Data sources

Source observed

Oct 6, 2026, 6:10 PM UTC

Yield.ly refresh

Oct 6, 2026, 6:11 PM UTC

Data generated

Oct 6, 2026, 6:17 PM UTC

• DefiLlama · total APY, base APY, reward APY, TVL
• CoinGecko · token icon

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