Steakhouse's Prime EURCV vault on Morpho shows a tidy 4.00% APY, "0% incentives." Pulled the chain. Here's who's actually paying it.
yield the borrowers actually pay
~0.3%
~80% of the vault sits idle; the active slice earns ~1.4%. Blended organic yield ≈ 0.3%.
yield a Safe drip-feeds in 🎁
~3.7%
A multisig sends EURCV straight into the vault every week — no deposit, no shares minted, share-price just ticks up.
0.3% earned~92% of the "yield" is rented
The weekly drip now runs at ~70,000 EURCV / week ≈ 3.6M / year — on an $101M vault that's ~4% by itself. In other words: the donation alone ≈ the entire displayed APY. Stop the drip and this "4%" collapses to ~0.3%.
01the drip 25 transfers · 750,945 EURCV
Every bar is one direct EURCV transfer from Safe 0x1fe9f1…8f30 into the vault. It starts at 100 and climbs to ~70k/week — sized in lockstep with TVL to hold a steady ~4% display.
Feb 18AprMayJunJul 24
02why it looks organic
This is the clever part — and why it needed a weekly cadence, not one big transfer.
// no shares
Donation ≠ deposit. A plain transfer to the vault raises assets with no new shares → the share price jumps. Existing depositors pocket it.
// smoothed
One lump would spike then crash the trailing rate. Streaming it weekly keeps the realized APY flat — a fake "steady 4%."
// invisible
Shows as "0% incentives" because it's not a reward token. Morpho just shipped an "Includes donations" tag to out exactly this.