Liquidity depth per major asset
Yearn Finance's assessment for RD-F-065 — scored yellow on the v1.7.0 rubric. The evidence below is the curator's reasoning for this score.
Evidence summary #
Yearn is a vault aggregator; depositor exit liquidity depends on vault withdrawal queues and underlying strategy liquidity (Aave, Morpho, Curve), not direct on-chain DEX depth of vault tokens. Stablecoin vaults (yvUSDC, yvUSDT, yvUSD) have large underlying liquidity in Aave and Morpho, supporting normal-condition redemptions. ETH/WETH vaults similarly liquid. However: (1) V3 vaults use a configurable `minimum_total_idle` withdrawal reserve; actual values across 114+ tracked vaults are unknown without per-vault on-chain reads; (2) Katana-chain vaults ($44.7M) are on a nascent L2 with lower on-chain liquidity depth than Ethereum; (3) strategy allocation mechanics can leave vaults fully allocated with limited instant liquidity. Scored yellow: no acute liquidity crisis evident but aggregator-specific withdrawal-queue risk is unquantified and Katana liquidity is structurally shallower.
Sources #
- DocsDeploying and Managing a V3 Multi Strategy Vault - Yearn DocsYearn V3 vault management docs: withdrawal queue ordering, minimum_total_idle configurable per vault; 114 tracked yield pools with avg APY 7.72% (DefiLlama); strategies allocate to Aave, Morpho, Curve, Katana DEXretrieved 2026-05-16
- Yearn Finance - DefiLlamaDefiLlama: Yearn Finance 114 tracked yield pools, avg APY 7.72%; stablecoin vaults (yvUSD, yvUSDC, yvUSDT) are flagship products. YFI token on-chain liquidity $7.67M (Curve $3.62M + Aerodrome $2.95M) -- thin for governance token but not a depositor withdrawal-path assetretrieved 2026-05-16
Methodology #
Measure on-chain liquidity depth for protocol-held assets at 2% and 5% price impact in USD.
See the full factor methodology and distribution across all protocols →