Bitwise Launches Premium RWA Vault (PAPY) on Morpho with Agora’s AUSD
Bitwise Asset Management has launched PAPY, the Bitwise Premium Real-World Assets (RWA) Vault, which targets a variable annual percentage yield of 5–6% by lending deposits in Agora's stablecoin AUSD against tokenized real-world assets. The vault operates on Morpho and lends to borrowers who post collateral such as PST from Huma Finance, sUSDai backed by AI infrastructure GPUs, and PRIME from Hastra representing prime home equity loans. PAPY is designed to offer more durable yield compared to traditional crypto-based lending strategies by leveraging real-world credit markets. The vault's parameters are preconfigured without discretionary management over user assets. AUSD deposits are fully collateralized with U.S. Treasury bills and other liquid assets, managed by VanEck and custodied at State Street. Bitwise emphasizes the importance of diversified RWA collateral for a better risk-adjusted lending experience. The launch is supported by Morpho's Paul Frambot and Agora’s Nick van Eck, who highlight Bitwise's expertise in structured credit and DeFi as key to expanding onchain yield strategies.
Topics: AUSD lending Bitwise Asset Management Morpho protocol RWA