Applicant information
Name: Superform
Key Information:
- Superform is the Universal Yield Marketplace, offering a permissionless, non-upgradable, open-source registry of vault opportunities through the Superform Protocol.
- Superform enables Ethena’s Reserve Fund to access yield-bearing assets across multiple chains from a single account. Base is one key domain for these RWA opportunities.
- Ethena can manage its Base vault positions directly on Ethereum, ensuring transparency and composability through SuperPositions. These are 1:1 tokenized representations of any yield, in this case on Base.
- Superform offers portfolio management, multi-vault transactions, router based interactions to reduce slippage and MEV, and other features to improve yield management.
Vaults Options:
-
Morpho Steakhouse USDC on Base:
- Link to Vault: Superform | Earn Yield & Distribute Vaults
- Steakhouse Financial is the largest curator of Morpho vaults and has a long track record within the industry for financial risk management
- Blue-chip Morpho vault with USDC as collateral
- The vault is permissionless and open to anyone who supplies USDC
- Underlying asset(s): USDC loan; over-collateralized by wETH, wstETH, and Treasury Bills, depending on the crypto lending and Treasury Bill lending environments
- Minimum/Maximum transaction size: No minimum or maximum
- 30 Day APY: 2.65%, plus additional $MORPHO tokens & temporary $OP rewards
- Current AUM for asset: $3.18m Total TVL, $1.26m Superform TVL = 39.64% of vault
- Instant liquidity: $3.18m
- Volume: All TVL accrued since Morpho’s Base launch on June 18th
- Sharpe: 1.47
-
Morpho Gauntlet USDC Core on Base:
- Link to Vault: Superform | Earn Yield & Distribute Vaults
- Gauntlet is one of the largest curators on Morpho and has a long track record within the industry for financial risk management
- Blue-chip Morpho vault with USDC as collateral
- The vault is permissionless and open to anyone who supplies USDC
- Underlying asset(s): USDC loans; over-collateralized by wETH, ezETH, weETH, wUSD+, and wstETH
- Minimum/Maximum transaction size: No minimum or maximum
- 30 Day APY: 2.25%, plus additional $MORPHO tokens & temporary $OP rewards
- Current AUM for asset: $4.57m Total TVL, $1.215m Superform TVL = 26.56% of vault
- Instant liquidity: $4.12m
- Volume: All TVL accrued since Morpho’s Base launch on June 18th
- Sharpe: 2.05
- Morpho Moonwell Flagship USDC on Base:
- Link to Vault: Superform | Earn Yield & Distribute Vaults
- B Protocol and BlockAnalitica, the largest strategist on Morpho’s Base markets, manage the strategy
- Blue-chip Morpho vault with USDC as collateral
- Underlying asset(s): USDC loans; over-collateralized by cbETH, wETH and wstETH
- Minimum/Maximum transaction size: No minimum or maximum
- 30 Day APY: 2.67%, plus additional $MORPHO & $WELL tokens & temporary $OP rewards
- Current AUM for asset: $18.3m Total TVL, $1.74m Superform TVL = 9.5% of vault
- Instant liquidity: $10.95m
- Volume: All TVL accrued since Morpho’s Base launch on June 18th
- Sharpe: 2.04
All deposits in Superform earn Superform XP in addition to the base APY. Capital contributions over $1m from the same address would currently rank #1 on Superform’s reward program leaderboard, Superform Safari, which entitles the depositor to a 10x multiplier on their XP. More info here: Superform Safari
Additionally, starting this week, cross-chain routes can use the deBridge Liquidity Network to earn Season 2 deBridge Points on select routes through Superform. When depositing, the user must select a route that uses deBridge to qualify.
Proposal Summary
Brief outline of the requested allocation of Ethena’s Reserve Fund to your asset/product and benefit to Ethena
Ethena can manage its treasury on Ethereum but access yield on any other chain using a single account through Superform. Superform acts as a single management platform for yield, simplifying the operational overhead needed to manage the Reserve Fund’s yield positions in the future. Several RWA options are available on Superform, including MakerDAO, Morpho, Anzen, Avantis, and Ethena’s sUSDe, with more vaults added every day via the permissionless vault listing process.
Ethena’s Reserve Fund can allocate to a number of products to provide diversified cross-chain exposure to RWAs, the most attractive of which are Morpho vaults on Base. Morpho vaults have undergone multiple smart contract audits, and many strategies have onchain Aragon DAO Guardians that put depositors fully in control with no trust assumptions. The selected products offer a blend of the best Morpho strategies on Superform and are diversified across Curators, all while still holding USDC as the underlying.
Additionally, Superform has gone through numerous smart contract audits and competitions from Spearbit’s lead security research Gerard Persoon and Hans Friese, a leading cross-chain auditor, as well as performed comprehensive code and Capture the Flag competitions using Cantina.
Basics and background
How will this allocation improve the diversification or capital efficiency of Ethena’s Reserve Fund and/or backing assets?
Ethena currently is entirely allocated to Ethereum and off-chain sources of yield. There are numerous chains with untapped yield opportunities to deploy capital into in an efficient manner. By diversifying chain selection using Superform, Ethena gets access to new capital markets currently isolated from its primary capital base. Ethena’s Reserve Fund can diversify across domains to limit potential drawdowns in Ethena’s strategies. By diversifying into leading Base strategies, Ethena gets uncorrelated exposure. All Morpho strategies are ERC-4626 vaults with risk isolated between them, but trust varies from vault to vault based on the strategist. Morpho received a 98% by DeFi Safety Score, the highest of any protocol.
On the Superform side, there is no marginal economic or oracle risk to using Superform. All vault shares are held 1:1 in Superform’s contracts. Superform contracts marginally increase smart contract risk by minting SuperPositions (an ERC1155) to manage a user’s cross-chain portfolio balance. When depositing through Superform, a user can select the bridge and DEX they want to use, and slippage parameters. Additionally, all cross-chain messages must be sent via 2 of 3 supported AMBs: Hyperlane, LayerZero, and Wormhole. By requiring a primary and proof bridge, no single AMB can corrupt Superform deposits, making Superform one of the most secure cross-chain protocols today.
Please describe any experience your firm has in working with decentralized organizational structures
The Superform Protocol is a decentralized access point for onchain yield. The Superform Labs’ team coordinates with the signers of the Superform Protocol multisig to push contract updates and make changes periodically. Superform works with over 30 protocols to help them distribute their yield products in a decentralized way using the Superform Protocol. Additionally, Superform Labs successfully built community consensus around a Morpho Governance proposal that allowed rewards to be claimed by Superform App users.
What is your entity’s current assets under management, assets held in trust, total value locked, or equivalent metric for your legal structuring?
No entity manages capital deposited into Superform, which is a permissionless protocol. It has a total TVL of $24m and is the 21st largest protocol on Base with $11.75m TVL. That TVL is predominantly deposited by users into Morpho, representing $7.32m of its deposits.
Legal design
Do holders of your product have any shareholder, investor, creditor or similar rights?
The Superform Protocol and the underlying vaults listed on it are DeFi products with no corresponding legal rights or responsibilities.
Describe the legal and contractual structuring for your product, specifically naming any regulatory bodies overseeing the product, if applicable.
There is no agreement between the Superform Protocol and depositors. The Superform Protocol is a permissionless, non-upgradable, open source registrar of vault opportunities that provides simplified cross-chain yield access. Additionally, depositors and the underlying vault opportunities have no legal or contractual relationship. The vaults listed on Superform are provided as-is in a permissionless manner.
How would the proposed allocation be treated in a bankruptcy or insolvency situation?
Each opportunity listed on Superform comes with its own set of risks. Lending vaults, for example, such as Morpho, can have bad debt. Bad debt can arise when borrowers cannot repay loans, and liquidators cannot secure the necessary collateral. Morpho has only had one such event its history with a less than 50 bps haircut in a single strategy socialized to lenders only deposited in that market. In this case, the interest generated by the strategy covered the loss from bad debt in less than a week. This strategy was not included in this proposal. The Superform Protocol cannot be shut down nor go bankrupt; it is a permissionless protocol and thus will remain operational regardless of external conditions.
Smart Contract/Architecture
How many smart contract audits have been completed with respect to your tokenized product? Please name the auditors and provide a copy of reports.
The Superform Protocol has undergone an extensive security review. It was reviewed by 2 independent auditors—Hans Friese founder of Solodit ****and Gerard Persoon, lead security researcher at Spearbit —and ran a $140k Code Competition with Spearbit and a live $100k Capture the Flag contest with Cantina. You can read all findings here: superform-core/security-review at main · superform-xyz/superform-core · GitHub
The Superform protocol also has an ongoing Immunefi bug bounty program here: Superform Bug Bounties | Immunefi | Immunefi
Is the asset/product permissioned? If so, how are you managing user identities? Any blacklisting/whitelisting features?
Superform is permissionless, non-upgradable, and open source. Access to vaults on the Superform Protocol cannot be restricted in any way. The Superform Labs team maintains the Superform App and implements compliance measures such as IP blocking of US and OFAC-sanctioned jurisdictions and wallet screening using TRM and ChainAnalysis. Additionally, the Superform App inherits Uniswap’s ERC20 Token Blacklist for funding tokens used for deposits.
Is the asset/product present on several chains? Are there any cross chain interactions?
The Superform Protocol is deployed on eight chains (Ethereum, Arbitrum, Optimism, Base, Polygon, BSC, Fantom, and Avalanche). It offers chain-abstracted access to any vault on any chain. The aforementioned vaults are on Base, but deposits into those vaults can be made either same-chain, which doesn’t use cross-chain services, or cross-chain, which uses a liquidity bridge and 2 AMBs (2/3 of Hyperlane, LayerZero, and Wormhole) per transaction to secure messages.
Are the applicable tokens being used in any other protocols? Please describe the various components of the ecosystem.
Many protocols have integrated Morpho vaults. PWN.XYZ has integrated Superform for P2P borrowing against SuperPositions and Nexus Mutual for cover on Superform contracts.
How are trusted roles/admins managed in the system? Which aspects of the solution require trust from users?
The Superform Protocol is non-upgradable and non-custodial. Admins cannot, under any circumstances or using any functions, get access to user deposits. The Protocol multi-sig’s rights are restricted to adding new bridges, validators, and helper contracts. It is a diversified 4/7 SAFE with key leaders such as Stefan George (CTO of Gnosis), Jon Kol (CEO of Hyperlane), Phillip Zentner (CEO of Li.Fi), Yacine Ghalim (MD at Heartcore Capital), and the Superform Labs co-founders.
Is there any custom logic required for your token/product? If so please give any details.
No, you can access the vaults using the Superform App.