USDC Vault Performance Update, 8/8

Reviewing the USDC’s Vault recent performance.

Measuring Vault Performance

The most relevant metric for assessing vault performance is the Price Per Share (PPS) of the Vault’s fungible $glpUSDC token. The PPS of $glpUSDC compares the total asset value in the vault to the number of $glpUSDC tokens outstanding, which are minted when $USDC is deposited into the Vault and burned when it is withdrawn. (See detailed data here).

Early Adjustment To Hedging Model

In the first 24 hours post launch, the Umami team discovered that the Vault was not placing its hedging positions correctly on Tracer.

Vault Performance Since July 28

Now, with nearly two weeks of live data collected on the Vault over the course of 27 rebalancing cycles, Umami is able to offer a clear picture of overall vault performance. The team can confidently state that, subsequent to the correction of the hedging misallocation, the Vault has been performing in-line with Balance’s model.

Unadjusted PPS vs. PPS “smoothed” via a Moving Average

Future Improvements

The team is pleased to say that, after observing the USDC Vault function for two weeks “in the wild,” it has identified several opportunities to further improve Vault performance. Umami’s devs are working on these improvements now and expect them to be live in the coming weeks.

Faster Than Expected Scaling

As those who have been following the launch of Umami’s USDC Vault are well aware, maintaining liquidity for Tracer’s Perpetual Pools is crucial to successfully scaling the Vault.

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