Stable, Theo Launch Morpho Vault for USDT Real-World Yield

Stable launched StableEarn on May 26, deploying a Morpho vault on its USDT-native blockchain. The vault accepts USDT deposits and channels them into three real-world asset products managed by Theo: thBILL, thGOLD and thUSD.

thBILL offers tokenized exposure to U.S. Treasury bills. thGOLD is a gold-denominated carry strategy. thUSD is a delta-neutral yield product assembled from gold derivatives. Each product is backed by physical or institutional collateral and hedged on the CME and NYMEX futures markets to manage market risk.

The vault runs on Morpho, an onchain lending protocol, and routes funds from Stable’s USDT environment into Theo’s strategies. Risk limits and stress scenarios for the vault are defined and monitored by Gauntlet, a risk management firm that curates more than $1 billion in assets across the Morpho protocol. Yield is produced by the underlying market strategies rather than token incentive programs.

Theo, cofounded by former quantitative traders from Optiver and IMC, uses a quantitative risk framework developed by its founding team. The firm works with institutional partners including Standard Chartered’s Libeara division and Wellington Management. Theo’s products are integrated across more than 15 decentralized finance protocols.

Stable is built specifically around USDT and supports gas payments in that stablecoin. The company says StableEarn is aimed at users who already hold USDT on the chain, including neobanks, fintech firms, payment processors and retail holders who prefer not to move assets offchain.

Stable cited USDT’s market capitalization near $190 billion and its share of more than half the global stablecoin market as context for the product. The announcement did not disclose expected annual yields or a detailed fee schedule; those specifics are expected to appear in the vault’s documentation and ongoing performance reports.

Stable CEO Brian Mehler described StableEarn as bringing “institutional-grade yield” to a chain built around USDT. Theo chief investment officer Iggy Ioppe characterized the product as “USDT-native, institutional-grade, with returns generated by real-world markets.”

Stable and Theo presented the Morpho vault as an initial product. The technical setup is prepared to support additional vaults and strategies on the Stable network, but no further products have been announced.