🟡Stablecoin Yield Update In this update, we’re sharing our latest stablecoin yield changes plus a closer look at how we think about risk in our ETH LSD/LRT strategies (stETH, rseth, ezETH). #DeFi #RWA #Stablecoin #Yield #CianYieldlayer

Since our last post, we've made key optimizations: We've added a new strategy: USDC Gearbox on @Monad Lending (TVL 14M, 12.4% APY via incentives). Removed USDC Fluid on Polygon Lending and USDS on Spark Lending to streamline for better performance. Other changes are mostly minor numerical tweaks, like USDC Fluid on ETH APY dipping to 4.6% (from 7%), Kamino on Solana rising to 8.4% (from 7.9%), and small TVL shifts across the board (e.g., Maple USDC to 2643M from 2650M).

For our ETH-related yield layer strategies, we focus on how clear the underlying asset path is, how well they stay anchored to ETH, the strength of on-chain liquidity and exit routes, the security and governance health of the protocols involved, and — especially relevant this week — whether there are structural risks from market concentration and embedded leverage.

For stETH-related yield layer strategies, the path is straightforward: ETH is staked via @LidoFinance into stETH/wstETH, which is then used in @aave and Lido markets and other DeFi protocols as collateral and yield source. On our side, we mainly watch stETH’s deviation from ETH, any abnormal discount events, liquidity on major DEXes and lending markets relative to our position size, and major changes on Lido’s governance, audits or redemption design. So far, stETH has remained well anchored to ETH, liquidity is sufficient for our current exposure, and we haven’t seen protocol-level signals that would force us to de-risk aggressively.

rseth and ezETH typically sit on multi-layer “stake + restake” paths: ETH is staked, then restaked via frameworks like @eigenlayer and related AVSs or services. This adds yield sources but also extra protocol and counterparty risk at the restaking and AVS layers. We treat these positions more conservatively: we look at how sensitive their ETH peg is compared with stETH, how thin the liquidity is, and whether transparency materials clearly explain the underlying split.

On top of that, we pay close attention to market structure risk—especially concentration and embedded leverage. Internally, we track (1) where Cian itself is a major supplier or borrower in LSD/LRT markets, and (2) whether a small number of participants hold large, leveraged positions. In ezETH-related lending markets, for example, our internal data shows that in one Lido ezETH market, Cian deposits make up about 96.5% of total ezETH supply and around 30% of total wstETH borrow; in another Aave core ezETH market, our ezETH supply is about 96.2% of the pool, with roughly 20% of total wstETH borrow. In these markets, we’re clearly a significant participant on both the supply and borrow side. Under extreme events (oracle issues, parameter changes, one-sided flows), our own rebalancing will visibly move the pool, and structural shifts in the pool will feed back more directly into us. We therefore tag these as high-attention positions, review their exit capacity and liquidation behavior more frequently, and avoid scaling them just because “TVL is large and the rate looks good” — while sizing them against observed exit liquidity (e.g. ≈1,700 ezETH of DEX liquidity within 1–2% slippage vs. ≈7,100 ezETH TVL in our ezETH vault, and ≈2,950 rseth of liquidity vs. ≈2,800 rseth TVL in our rseth vault).

We also see LSD pools where the top few addresses together control around 60% of total supply, often via highly leveraged looping structures. These positions can boost yield in calm conditions, but they make that portion of TVL very sensitive to rate and price changes. We assess how much of that TVL is concentrated and leveraged, and we treat that slice more conservatively when assessing liquidity risk and designing de-risking plans. We’ll keep refining both our strategies and our risk monitoring, and share more data points like these over time. If there’s anything you’d like us to break down in more detail next time, feel free to reply and let us know. Not financial advice—DYOR always! #DeFi #RWA #Stablecoin #Yield #CianYieldlayer