Summary
Gauntlet runs three vault tiers on Morpho: Prime (blue-chip only, 4-6% APY), Core (blue-chip + select yield-bearing, 5-8% APY), and Frontier (broader markets, 7-12% APY). The firm uses Agent-Based Simulations (ABS) that model market scenarios and user interactions, incorporating DEX liquidity depth, price trajectories, and liquidation mechanics. Gauntlet curates $1.5B+ across 30+ vaults with $2B+ total TVL across Morpho, Drift, and Kamino. During the November 2025 Stream (xUSD) liquidity stress, Gauntlet USDC Balanced vault grew supply by 35% while competitor vaults saw 60%+ outflows, with zero bad debt. Gauntlet charges 8-15% performance fees on vault yield. Against Aave V3 USDC (3-6% typical) and Compound V3 USDC (3-5% typical), Gauntlet delivers 100-300 basis points pickup.
Key Points
- Three tiers: Prime (4-6%), Core (5-8%), Frontier (7-12%) on USDC
- Methodology: Agent-Based Simulations, position sizing, continuous rebalancing
- $1.5B+ curated, 30+ vaults, $2B+ total TVL
- November 2025 stress test: zero bad debt, net inflows
- Fees: 8-15% performance fee on yield
- vs Aave V3: 100-300bps premium (4-8% vs 3-6%)
- vs Morpho: Gauntlet uses simulation-based sizing vs Steakhouse's asset-selection conservatism
- Aave engagement ended 2023; Compound partnership renewed through September 2026