Yearn — yvWETH-1

Contract Addresses

Core yvWETH-1 Contracts

Contract	Address	Type
yvWETH-1 Vault	0xc56413869c6CDf96496f2b1eF801fEDBdFA7dDB0	Yearn V3 Vault (v3.0.2), Vyper minimal proxy
Underlying asset (WETH)	0xC02aaA39b223FE8D0A0e5C4F27eAD9083C756Cc2	Wrapped Ether
Accountant	0x5A74Cb32D36f2f517DB6f7b0A0591e09b22cDE69	Shared Yearn Accountant (0% mgmt, 10% perf)
Fee Recipient (Dumper)	0x590Dd9399bB53f1085097399C3265C7137c1C4Cf	Claims fees and routes to auctions/splitters

Governance Contracts (shared with all Yearn V3 risk-1 vaults)

Contract	Address	Configuration
Yearn V3 Role Manager	0xb3bd6B2E61753C311EFbCF0111f75D29706D9a41	Single instance for all category-1 vaults
Daddy / ySafe (Governance)	0xFEB4acf3df3cDEA7399794D0869ef76A6EfAff52	6-of-9 Gnosis Safe — holds 12 of 14 vault roles
Brain (Operations)	0x16388463d60FFE0661Cf7F1f31a7D658aC790ff7	3-of-8 Gnosis Safe
Security	0xe5e2Baf96198c56380dDD5E992D7d1ADa0e989c0	4-of-7 Gnosis Safe — DEBT, MAX_DEBT, EMERGENCY
Strategy Manager (Timelock)	0x88Ba032be87d5EF1fbE87336b7090767F367BF73	TimelockController — 7-day delay for strategy additions and accountant changes. Self-governed
Keeper	0x604e586F17cE106B64185A7a0d2c1Da5bAce711E	yHaaSRelayer — REPORTING only
Debt Allocator	0x1e9eB053228B1156831759401dE0E115356b8671	Minimal proxy — REPORTING + DEBT_MANAGER

Yearn V3 Infrastructure

Contract	Address
Vault Factory (v3.0.2)	0x444045c5C13C246e117eD36437303cac8E250aB0
Vault Original (v3.0.2)	0x1ab62413e0cf2eBEb73da7D40C70E7202ae14467

Active Strategies (3 in default queue, 3 with debt)

#	Strategy	Name	Current Debt (WETH)	Allocation
1	0x365cC9c28Df1663fA37C565A3aC1Addc3A219e15	Spark WETH Lender	215.17	4.03%
2	0xeEB6Be70fF212238419cD638FAB17910CF61CBE7	Morpho Gauntlet WETH Prime Compounder	3,800.46	71.26%
3	0x470e0e048F85CFD72EEf325895e02c8D297E7435	stETH Accumulator	1,316.44	24.68%

Previously queued, now revoked (activation = 0 at block 25073237):

• Aave V3 Lido WETH Lender (0xC7baE383738274ea8C3292d53AfBB3b42B348DF0)
• Aave V3 WETH Lender (0x5ABcBBDbf617a21F7667e8cfD17Fa16475D20dB8)

Current funding posture: vault is ~100% deployed across three venues (~1 WETH idle). Morpho Gauntlet dominates at ~71% — a meaningful single-venue concentration. The stETH Accumulator share has grown to ~25%. Both Aave V3 strategies remain revoked; per Yearn team the original revocations followed the April 18 rsETH bridge exploit (unverified attribution). None of the funded strategies reference rsETH directly. Between the May 5 snapshot (block 25031569) and this snapshot (block 25073237, 6 days later) the mix shifted from 73.85% / 21.35% / 4.80% to 71.26% / 24.68% / 4.03% — a deliberate reallocation toward the Accumulator (+150 WETH absolute) at the expense of both Morpho (-233 WETH) and Spark (-47 WETH).

Strategy Protocol Dependencies

Protocol	Strategy	Allocation
Morpho (Gauntlet curator)	Morpho Gauntlet WETH Prime Compounder	71.26% of vault TVL
Lido (stETH)	stETH Accumulator	24.68% of vault TVL
Spark Lend	Spark WETH Lender	4.03% of vault TVL
Curve ETH/stETH pool	stETH Accumulator (stake / unwind path)	Indirect dependency
Lido withdrawal queue	stETH Accumulator (unwind path)	Indirect dependency

Sky-governance exposure note: Spark Lend is a Sky sub-DAO. Roughly 4% of yvWETH-1's debt sits in Spark WETH Lender, which is administered through Sky / Spark governance. This is a small Sky-governance dependency on a minority allocation; immaterial relative to the Morpho-dominated mix.

Audits and Due Diligence Disclosures

Yearn V3 Core Audits

Auditor	Date	Scope	Report
Statemind	May 2, 2024	V3 Vaults (v3.0.0)	PDF
ChainSecurity	May 4, 2024	V3 Vaults + Tokenized Strategy (v3.0.0)	2 PDFs
yAcademy	Jun 2024	V3 Vaults (v3.0.1)	PDF

Lido Audits (Underlying Protocol)

Lido is one of the most extensively audited LSTs in DeFi. Audits include MixBytes, Quantstamp, Sigma Prime, Statemind, Oxorio, ChainSecurity, and others. See Lido security for the full list.

Curve ETH/stETH Pool

Audited as part of Curve's StableSwap suite. Pool address 0xDC24316b9AE028F1497c275EB9192a3Ea0f67022.

Strategy Review Process

All strategies pass through Yearn's 12-metric risk-scoring framework (RISK_FRAMEWORK.md). yvWETH-1 is registered as Category 1 in the Role Manager (getCategory(vault) == 1), the strictest tier.

Bug Bounty

• Yearn (Immunefi): active, $200,000 max payout (Critical). https://immunefi.com/bounty/yearnfinance/
• Yearn (Sherlock): also listed at https://audits.sherlock.xyz/bug-bounties/30
• Lido (Immunefi): active bug bounty
• Safe Harbor (SEAL): Yearn is not listed on the SEAL Safe Harbor registry

On-Chain Complexity

• 3 funded strategies at the snapshot
  • Morpho Gauntlet WETH Prime Compounder — direct WETH deposit into a Morpho Gauntlet ERC-4626 vault. Single hop
  • Spark WETH Lender — direct supply into Spark Lend WETH market. Single hop
  • stETH Accumulator — pipeline: WETH → ETH (unwrap) → stETH (Curve or Lido submit). Two hops; the only LST in the mix
• No leverage, no looping, no cross-chain bridging
• Standard ERC-4626 deposit / withdrawal at the vault level
• Manual unwind is the only operational complexity layer — _freeFunds() on the stETH Accumulator is a no-op, so user redemptions touching the ~25% Accumulator portion depend on management pre-positioning loose WETH
• Vault is immutable (non-upgradeable Vyper minimal proxy)

Historical Track Record

• Vault deployed: March 12, 2024 (deployment tx) — ~26 months in production
• TVL: 5,333.06 WETH (~$12.41M)
• PPS trend: 1.000000 → 1.047594 (~4.76% cumulative return over ~26 months, ~2.2% annualized — reflects historical periods at lower deployment ratios)
• Security incidents: None known for this vault or for the Yearn V3 framework
• Strategy changes: active management. Between April 27 and May 5, Aave V3 Lido WETH and Aave V3 WETH were both revoked (activation = 0); funds were re-deployed from the prior 67%-idle posture into a Morpho-dominant 3-venue mix. Between May 5 and May 11 the Debt Allocator / Brain reallocated ~150 WETH from Morpho+Spark into the stETH Accumulator, lifting its share from 21.35% → 24.68%
• Yearn V3 track record: V3 framework live since May 2024 (~24 months). No V3 vault exploits

Lido track record: $20B+ TVL, longest-running LST, Shapella enabled withdrawals (June 2023). Curve stETH/ETH peg has been stable post-Shapella with brief periods of slight discount during stress events.

Funds Management

yvWETH-1 is ~100% deployed at the snapshot (~1 WETH idle), split roughly: Morpho Gauntlet 71%, stETH Accumulator 25%, Spark 4%. The earlier April-27 67%-idle posture (per Yearn team a rsETH-precautionary deallocation, unverified attribution) has reversed.

Strategy 1: Morpho Gauntlet WETH Prime Compounder (~71.26% of vault TVL)

Contract: 0xeEB6Be70fF212238419cD638FAB17910CF61CBE7

Direct WETH deposit into the Gauntlet-curated Morpho WETH Prime ERC-4626 vault. Atomic single-hop deposit / redeem against deep Morpho lending markets (Morpho protocol $6.6B+ TVL). Curated by Gauntlet, audited 25+ times across Trail of Bits, Spearbit, OpenZeppelin, ChainSecurity, Certora.

Strategy 2: stETH Accumulator (~24.68% of vault TVL)

Contract: 0x470e0e048F85CFD72EEf325895e02c8D297E7435

The contract code (Strategy.sol / BaseLSTAccumulator.sol, verified on Etherscan) implements:

Stake path:

1. WETH unwrapped to ETH at the strategy contract
2. ETH staked via one of two routes, selected per call:
   • Curve ETH/stETH pool (0xDC24316b9AE028F1497c275EB9192a3Ea0f67022) — used when Curve quotes a better-than-1:1 rate
   • Lido submit{value}() — guaranteed 1:1 minting

Unwind path (manual, management-only — there is no auto-unwind on user withdrawal):

Method	Mechanic	Latency
manualSwapToAsset()	Sells stETH → ETH via Curve with a min-out parameter	Immediate
initiateLSTWithdrawal()	Queues stETH in the Lido withdrawal queue (0x889edC2eDab5f40e902b864aD4d7AdE8E412F9B1) for guaranteed 1:1 redemption	1–7 days under normal load
manualClaimWithdrawals()	Claims finalized Lido withdrawals back to ETH	Immediate after finalization

Accounting buffer:

• reportBuffer haircuts the LST value in estimatedTotalAssets() to absorb peg slippage
• pendingRedemptions blocks _harvestAndReport() from running while withdrawal requests are in flight (preventing double-counting)

Current strategy state (snapshot block 25073237):

Field	Value
Loose WETH balance on strategy	0 WETH (verified at snapshot via WETH.balanceOf(strategy))
pendingRedemptions	0 stETH (April 27 in-flight request #121758 remains finalized and claimed)
estimatedTotalAssets()	1,317.61 WETH
totalAssets() (TokenizedStrategy)	1,317.61 WETH (matches estimatedTotalAssets() to within profit-unlock noise)
Vault current_debt for this strategy	1,316.44 WETH
Strategy stETH balance	1,317.61 stETH (entire backing held as stETH; 0 wstETH, 0 WETH)
Lido request #121758	isFinalized = true, isClaimed = true at block 25073237

The accounting-lag mechanism (pendingRedemptions > 0 blocks _harvestAndReport()) is dormant at this snapshot — there is no in-flight Lido withdrawal. If the strategy initiates a new initiateLSTWithdrawal() later, the lag mechanism will re-engage; captured under Reassessment Triggers.

Strategy parameters:

• Activated: 2026-04-16
• Last reported: 2026-05-01 (last_report = 1777645139)
• Management: Brain multisig (3-of-8) and Debt Allocator
• Keeper: yHaaSRelayer (0x604e586F17cE106B64185A7a0d2c1Da5bAce711E)

Strategy 3: Spark WETH Lender (~4.03% of vault TVL)

Contract: 0x365cC9c28Df1663fA37C565A3aC1Addc3A219e15

Direct supply of WETH into Spark Lend's WETH market. Spark Lend is a Sky sub-DAO; ChainSecurity / Cantina audits. Atomic redemption against Spark Lend WETH market liquidity. Allocation is small (~4%), so Sky-governance dependency is not material at this allocation.

Revoked strategies (activation = 0 at snapshot)

• Aave V3 Lido WETH Lender (0xC7baE383738274ea8C3292d53AfBB3b42B348DF0) — revoked between April 27 and May 5
• Aave V3 WETH Lender (0x5ABcBBDbf617a21F7667e8cfD17Fa16475D20dB8) — revoked between April 27 and May 5

The rationale for revoking both Aave V3 strategies has not been independently verified.

Accessibility

• Deposits: Permissionless ERC-4626 — anyone can deposit WETH and receive yvWETH-1. Subject to 15,000 WETH deposit limit
• Withdrawals: ERC-4626. The bulk of TVL (~75%, Morpho + Spark) unwinds atomically against deep underlying lending markets. The ~25% in the stETH Accumulator does NOT auto-unwind — availableWithdrawLimit() on that strategy returns only its loose WETH balance. See the "Liquidity Risk" section below
• No cooldown or lock period at the vault level
• Fees: 0% management, 10% performance
• Profit unlock: 10 days

Collateralization

• 100% backing in WETH (Morpho, Spark positions) or stETH (Accumulator)
• Collateral quality: Morpho protocol $6.6B+ TVL with Gauntlet curation; Lido stETH is the largest LST ($20B+ TVL, multi-operator); Spark Lend is a Sky-audited stack
• No leverage — the Accumulator is a simple stake / unstake pattern; Morpho and Spark are direct lending positions
• Redeemability: Morpho and Spark redeem atomically subject to underlying market utilization. stETH can be unwound either via Curve (subject to peg slippage) or via the Lido withdrawal queue (1–7 days under normal load, 1:1 redemption)

Provability

• PPS: ERC-4626, fully algorithmic
• Strategy totalAssets(): reads on-chain Morpho / Spark / stETH balances
• Accounting-lag caveat (currently dormant): when the stETH Accumulator has an in-flight Lido withdrawal (pendingRedemptions > 0), _harvestAndReport() is blocked and the strategy values the in-flight portion at its pre-request mark. At this snapshot pendingRedemptions = 0 so the lag is not active, but the mechanism re-engages on every initiateLSTWithdrawal() call
• Profit / loss: reported by keeper via process_report(), locked over 10 days

Liquidity Risk

Aspect	Detail
Vault-level idle	0.9928 WETH (vault is ~100% deployed)
Atomic-unwind portion	~75% of TVL — Morpho Gauntlet (3,800.46 WETH) + Spark Lend (215.17 WETH), both deep blue-chip WETH lending markets
Manual-unwind portion	~25% of TVL — stETH Accumulator (1,316.44 WETH); availableWithdrawLimit() on this strategy returns only its loose WETH
Manual unwind paths	(a) Curve ETH/stETH (immediate, peg-dependent), (b) Lido queue (1–7 days, 1:1)
Curve ETH/stETH pool depth	Deep pool; stETH peg has been stable post-Shapella
Lido queue normal load	1–7 days for finalization
Cooldown / restrictions	None at the vault level

Practical implications:

• Small / medium withdrawals unwind atomically through the queue (Spark first, then Morpho) for the ~75% atomic portion
• Withdrawals exceeding the atomic portion require either (a) additional Morpho headroom, which depends on Morpho Gauntlet WETH market utilization at the moment of withdraw, or (b) management to pre-position WETH out of the stETH Accumulator
• Lido queue can extend under stress (post-merge withdrawal congestion, large coordinated unstake events)
• Same-asset: vault token is WETH-denominated; no price-divergence risk on the share
• Deposit limit: 15,000 WETH cap vs 5,333 WETH TVL (room for +181%)
• Single-venue concentration: ~71% of TVL sits in the Morpho Gauntlet WETH Prime vault — concentrated single-venue exposure, though Morpho/Gauntlet is among the highest-quality WETH venues in DeFi

The on-chain reality on the stETH Accumulator: availableWithdrawLimit() is deliberately constrained to the strategy's loose WETH balance — verified in BaseLSTAccumulator.sol (returns 0 at this snapshot). This is a design choice to prevent forced-sale of stETH at a discount during peg events, but it means redemptions exceeding the atomic Morpho + Spark capacity are management-paced for the Accumulator portion.

Centralization & Control Risks

Governance

Position	Address	Threshold	Roles on Vault
Daddy (ySafe)	0xFEB4acf3df3cDEA7399794D0869ef76A6EfAff52	6-of-9	12 of 14 vault roles
Brain	0x16388463d60FFE0661Cf7F1f31a7D658aC790ff7	3-of-8	QUEUE, REPORTING, DEBT, MAX_DEBT, DEPOSIT_LIMIT, WITHDRAW_LIMIT, PROFIT_UNLOCK, DEBT_PURCHASER, EMERGENCY
Security	0xe5e2Baf96198c56380dDD5E992D7d1ADa0e989c0	4-of-7	DEBT, MAX_DEBT, EMERGENCY
Strategy Manager (Timelock)	0x88Ba032be87d5EF1fbE87336b7090767F367BF73	7-day delay	ADD_STRATEGY, REVOKE_STRATEGY, FORCE_REVOKE, ACCOUNTANT, MAX_DEBT
Keeper	0x604e586F17cE106B64185A7a0d2c1Da5bAce711E	Bot	REPORTING only
Debt Allocator	0x1e9eB053228B1156831759401dE0E115356b8671	Bot	REPORTING + DEBT_MANAGER

ySafe 6-of-9 signers include publicly known DeFi contributors — see Yearn Multisig Info.

Strategy-specific governance: the stETH Accumulator's manual unwind functions (manualSwapToAsset, initiateLSTWithdrawal, manualClaimWithdrawals) are management-only. This is a strategy-level centralization point — Brain decides when to start unwinding stETH for upcoming user redemptions. Standard for LST integrations.

Properties (all 6 Yearn V3 risk-1 vaults):

1. No EOA holds vault roles directly
2. Strategy additions and accountant changes pass through 7-day timelock
3. Self-governed timelock — TIMELOCK_ADMIN belongs to the timelock itself
4. Vault contract is immutable — Vyper minimal proxy
5. Same governance pattern across 37+ vaults

Programmability

• PPS: ERC-4626, fully algorithmic
• Vault operations: permissionless deposit / withdraw on-chain
• Strategy reporting: automated via keeper
• Debt allocation: Debt Allocator (automated) + Brain (manual)
• Off-chain inputs: none directly to PPS or fund movement, but the LST-Accumulator unwind decisions are off-chain (management-paced)

External Dependencies

Dependency	Criticality	Notes
Morpho protocol + Gauntlet curator	Critical — ~71% of vault TVL	Morpho $6.6B+ TVL; Gauntlet curates the WETH Prime vault's underlying markets
Lido (stETH)	High — ~25% of vault TVL	Largest LST, $20B+ TVL, well-audited stack, multi-operator. Shapella-enabled withdrawals work 1:1 within 1–7 days
Spark Lend + Sky governance	Low — ~4% of vault TVL	Sky sub-DAO; small allocation
Curve ETH/stETH pool	Medium (unwind path for ~25%)	Used for both staking (when better than 1:1) and manual unwind
Lido withdrawal queue	Medium (unwind path for ~25%)	1:1 redemption, 1–7 days normal load

Dependency quality: Morpho/Gauntlet, Lido, and Spark are all top-tier WETH venues. Concentration risk is meaningful (~71% Morpho), but each individual venue is high quality.

Operational Risk

• Team: Yearn Finance — established 2020, public contributors, named multisig signers
• Vault management: Standard Yearn V3 Role Manager pattern shared across 37+ vaults
• Documentation: Comprehensive Yearn V3 documentation. Strategy code (including BaseLSTAccumulator.sol) verified on Etherscan
• Legal: Yearn BORG via YIP-87
• Incident response: 4 historical V1 events handled. V3 framework not yet stress-tested by an exploit. $200K Immunefi bug bounty for responsible disclosure
• V3 immutability: vault cannot be upgraded — eliminates proxy upgrade risk but means a critical bug requires deploying a new vault and migrating
• Strategy-level operational risk: the management-paced unwind for the stETH Accumulator's ~25% portion means yvWETH-1 retains a higher operational dependency on Brain than the all-stable vaults — even though the bulk of TVL (Morpho + Spark) still unwinds atomically. The May 5 → May 11 reallocation moved ~150 WETH into the Accumulator (raising its share from 21% → 25%), which marginally increased that dependency
• Operational anomaly: between April 27 and May 5, two strategies (Aave V3 Lido WETH and Aave V3 WETH) were revoked while funds were re-deployed. Per Yearn team this followed the rsETH bridge exploit (unverified attribution); the rationale for revoking these specific blue-chip strategies has not been independently verified — Brain must monitor incoming withdrawal demand and pre-position WETH

Monitoring

Existing Monitoring Infrastructure

Yearn maintains the monitoring repository with active alerting. yvWETH-1 is in the monitored vault list:

• Large flow alerts (yearn/alert_large_flows.py) — runs hourly via GitHub Actions. Alerts on deposits / withdrawals exceeding threshold via Telegram
• Endorsed vault check (yearn/check_endorsed.py) — weekly
• Timelock monitoring (timelock/timelock_alerts.py) — monitors the Yearn TimelockController across multiple chains

Key Contracts

Contract	Address	Monitor
yvWETH-1 Vault	0xc56413869c6CDf96496f2b1eF801fEDBdFA7dDB0	PPS (convertToAssets(1e18)), totalAssets(), totalDebt(), totalIdle(), Deposit / Withdraw events
Morpho Gauntlet WETH Prime Compounder	0xeEB6Be70fF212238419cD638FAB17910CF61CBE7	totalAssets(), current_debt, isShutdown(), keeper report frequency
Spark WETH Lender	0x365cC9c28Df1663fA37C565A3aC1Addc3A219e15	totalAssets(), current_debt, isShutdown(), keeper report frequency
stETH Accumulator	0x470e0e048F85CFD72EEf325895e02c8D297E7435	totalAssets(), estimatedTotalAssets(), pendingRedemptions, balanceOfAsset(), isShutdown(), keeper report frequency
Lido stETH	0xae7ab96520DE3A18E5e111B5EaAb095312D7fE84	Total supply, exchange rate, pause state
Lido Withdrawal Queue	0x889edC2eDab5f40e902b864aD4d7AdE8E412F9B1	Strategy's outstanding withdrawal request status
Curve ETH/stETH	0xDC24316b9AE028F1497c275EB9192a3Ea0f67022	stETH/ETH peg, pool depth
ySafe (Daddy)	0xFEB4acf3df3cDEA7399794D0869ef76A6EfAff52	Signer / threshold changes
Accountant	0x5A74Cb32D36f2f517DB6f7b0A0591e09b22cDE69	Fee changes

Critical Events to Monitor

• PPS decrease — should only increase outside of explicit loss events
• Allocation drift — currently ~71% Morpho / ~25% stETH / ~4% Spark; drift toward >85% in any single venue should trigger reassessment
• stETH/ETH peg deviation — affects the ~25% Accumulator portion's manual unwind via Curve
• Lido withdrawal queue length — extended queue degrades the 1:1 unwind path
• pendingRedemptions not draining after expected finalization — points to stuck or slow Lido withdrawal (currently 0 at the snapshot; will engage on the next initiateLSTWithdrawal())
• Strategy additions / removals — StrategyChanged events; further revocations are operational signals
• ySafe signer / threshold changes
• Lido pause — would impact stETH redemption mechanics
• Morpho Gauntlet WETH Prime utilization — affects atomicity of the largest portion (~71%)

Monitoring Functions

Function	Contract	Purpose	Frequency
convertToAssets(1e18)	Vault	PPS tracking	Every 6 hours
totalAssets()	Vault	Total TVL	Daily
totalDebt() / totalIdle()	Vault	Capital deployment ratio	Daily
estimatedTotalAssets()	Strategy	Real on-chain backing (vs totalAssets())	Daily
pendingRedemptions()	Strategy	In-flight Lido withdrawal value	Daily
balanceOfAsset()	Strategy	Loose WETH available for user withdrawals	Hourly
Lido getWithdrawalStatus(...)	Lido queue	Track pending request finalization	Daily until finalized
Curve get_dy(0,1,1e18)	Curve pool	stETH/ETH spot exchange rate	Hourly
getThreshold() / getOwners()	ySafe	Governance integrity	Weekly
getMinDelay()	ySafe	Delay change detection	Weekly

Reassessment Triggers

• Time-based: Reassess in 6 months (November 2026) or annually
• TVL-based: Reassess if TVL exceeds 10,000 WETH or changes by ±50%
• Allocation drift:
  • Morpho Gauntlet WETH Prime share moves above 85% or below 50% of vault TVL
  • stETH Accumulator share grows above 50% of vault TVL — deeper review of the manual unwind path
  • any one venue exceeds 90% of vault TVL
• Strategy changes (addStrategy() proposals at the Strategy Manager TimelockController, 0x88Ba032be87d5EF1fbE87336b7090767F367BF73, 7-day delay):
  • any new strategy proposed for inclusion — re-review during the 7-day timelock window
  • any new strategy with leverage, looping, cross-chain bridging, or non-blue-chip routing
  • any new strategy with direct or indirect rsETH exposure (LayerZero OFT bridge contagion still recent — see hgETH report)
  • re-funding of either revoked Aave V3 strategy (0xC7baE383738274ea8C3292d53AfBB3b42B348DF0 or 0x5ABcBBDbf617a21F7667e8cfD17Fa16475D20dB8) — would clarify the ongoing rationale of the May 5 revocations
• Lido-specific:
  • extended Lido withdrawal queue (>14 days) — degrades the 1:1 unwind path
  • stETH/ETH peg deviation > 1% sustained
  • any Lido contract upgrade or oracle change
  • any new initiateLSTWithdrawal() from the Accumulator — re-engages the pendingRedemptions accounting-lag mechanism that is dormant at this snapshot
• Strategy-specific:
  • pendingRedemptions failing to drain after expected Lido finalization
  • Brain unwind cadence (frequency / size of manualSwapToAsset and initiateLSTWithdrawal calls) drops materially
• Morpho-specific: Morpho Gauntlet WETH Prime sustained utilization > 95% — degrades the atomic unwind path on the largest single allocation
• Incident-based: any V3 exploit, strategy loss, governance compromise, or major incident at Morpho / Lido / Spark / Curve
• Governance-based: ySafe / Brain / Security signer or threshold changes; any change to the timelock delay (would itself require 7 days)

---

Appendix: Contract Architecture

Snapshot at block 25073237 (May 11, 2026, 17:04 UTC).

┌──────────────────────────────────────────────────────────────────────┐
│                          VAULT LAYER                                  │
│                                                                       │
│  ┌────────────────────────────────────────┐                          │
│  │  yvWETH-1 (v3.0.2)                    │                          │
│  │  ERC-4626, immutable Vyper proxy       │                          │
│  │  0xc564…dDB0                           │                          │
│  │                                        │                          │
│  │  TVL: 5,333.06 WETH (~$12.41M)         │                          │
│  │   ├── 0.99 idle                        │                          │
│  │   └── 5,332.07 deployed across 3      │                          │
│  └─────────────────┬──────────────────────┘                          │
│                    │                                                  │
│   ┌────────────────┼────────────────────────────┐                    │
│   ▼                ▼                            ▼                    │
│ ┌──────────────┐ ┌──────────────────────┐ ┌────────────────────────┐ │
│ │ Spark WETH   │ │ Morpho Gauntlet      │ │ stETH Accumulator      │ │
│ │ Lender       │ │ WETH Prime           │ │ 0x470e…7435            │ │
│ │ 0x365c…9e15  │ │ Compounder           │ │                        │ │
│ │ 215.17 WETH  │ │ 0xeEB6…CBE7          │ │ 1,316.44 WETH (24.68%) │ │
│ │ 4.03%        │ │ 3,800.46 WETH        │ │                        │ │
│ │ Atomic       │ │ 71.26%               │ │ Stake: WETH→ETH→stETH  │ │
│ │ unwind       │ │ Atomic unwind        │ │ via Curve or Lido      │ │
│ │              │ │ subject to market    │ │                        │ │
│ │              │ │ utilization          │ │ Unwind (mgmt-only):    │ │
│ │              │ │                      │ │  manualSwapToAsset()   │ │
│ │              │ │                      │ │  initiateLSTWithdrawal │ │
│ │              │ │                      │ │  manualClaimWithdrawals│ │
│ │              │ │                      │ │                        │ │
│ │              │ │                      │ │ pendingRedemptions = 0 │ │
│ │              │ │                      │ │ (req #121758 cleared)  │ │
│ └──────────────┘ └──────────────────────┘ └────────────────────────┘ │
│                                                                       │
│  Revoked between Apr 27 and May 5 (activation = 0 at block 25073237): │
│   • Aave V3 Lido WETH Lender — 0xC7bA…8DF0                            │
│   • Aave V3 WETH Lender      — 0x5ABc…0dB8                            │
└──────────────────────────────────────────────────────────────────────┘
                                │
                                ▼
┌──────────────────────────────────────────────────────────────────────┐
│                          UNDERLYING                                   │
│  ┌────────────────────────┐  ┌────────────────────────┐               │
│  │ Morpho protocol        │  │ Spark Lend (Sky        │               │
│  │ + Gauntlet curator     │  │ sub-DAO)               │               │
│  │ $6.6B+ TVL             │  │ ChainSecurity/Cantina  │               │
│  │ 25+ audits             │  │ audited stack          │               │
│  └────────────────────────┘  └────────────────────────┘               │
│  ┌────────────────────────┐  ┌────────────────────────┐               │
│  │ Lido stETH             │  │ Curve ETH/stETH pool   │               │
│  │ $20B+ TVL              │  │ 0xDC24…7022            │               │
│  │ Multi-operator         │  │ Stake-on-better-quote, │               │
│  │ Shapella withdrawals   │  │ manual unwind venue    │               │
│  └────────────────────────┘  └────────────────────────┘               │
│  ┌────────────────────────┐                                           │
│  │ Lido Withdrawal Queue  │                                           │
│  │ 0x889e…F9B1            │                                           │
│  │ 1:1, 1–7 days normal   │                                           │
│  └────────────────────────┘                                           │
└──────────────────────────────────────────────────────────────────────┘

Appendix: TimelockController Role Structure

TimelockController 0x88Ba032be87d5EF1fbE87336b7090767F367BF73 — same timelock used by 37+ Yearn V3 vaults including all six mainnet risk-1 vaults. getMinDelay() = 604800 (7 days).

Role	Holder	Type	Notes
DEFAULT_ADMIN	No holder	—	Never granted (admin = address(0) at construction)
TIMELOCK_ADMIN	Timelock itself	Contract	Self-governed
PROPOSER	Daddy/ySafe	6-of-9 Safe	Sole proposer
EXECUTOR	Daddy/ySafe	6-of-9 Safe	Direct execution
EXECUTOR	TimelockExecutor 0xf8f60bf9456a6e0141149db2dd6f02c60da5779b	Contract	Wrapper: Brain (3/8) + deployer EOA can call execute() through it
CANCELLER	Daddy/ySafe	6-of-9 Safe	Cancel pending proposals
CANCELLER	Brain	3-of-8 Safe	Cancel pending proposals

To shorten the delay, Daddy 6/9 must propose updateDelay(), wait 7 days during which Brain or Daddy can cancel, then execute. DEFAULT_ADMIN was never granted, so no party can self-grant PROPOSER or TIMELOCK_ADMIN to skip the flow.