Crypto man

@NFTcryptology @Main_St_Finance Agree atleast ounce a week would be good. If not proof of reserves atleast proof of life would be good.

@Main_St_Finance Posting regularly will help more than hurting!

Main Street Update We wanted to provide a further update on the remaining box positions, the minter, and the Morpho market. The key point is that Main Street remains collateralized above 100% when valuing the remaining box positions at expiry. The boxes are expected to mature at $1, and our focus remains on liquidating them safely and efficiently as they move closer to expiry. We are continuing to actively monitor the remaining boxes. As these positions get closer to expiry, pricing generally improves and we are able to exit more of them without taking unnecessary haircuts. Whenever boxes can be sold in a way that is accretive and does not harm overall backing, we will continue to do so. As USDC is freed up, there will be two separate processes: 1. msY holders outside of Morpho For msY holders outside of the Morpho market, USDC will continue to be added to the minter and used to support the pool. This allows users to continue exiting through the normal pool/minter process as liquidity is restored. The minter will continue buying msY from the pool and redeeming/burning that supply over time. As more boxes are liquidated or mature, more USDC can be used to support this process, with the goal of continuing to reduce circulating msY supply outside of Morpho. 2. USDC lenders in the Morpho market Morpho needs to be handled separately because of the way Morpho v1.1 works under extreme utilization. Some looped borrowers are now accruing interest at very high rates. Over time, this can cause their debt to become larger than the value of their msY collateral, even when valuing msY at $1. This creates a technical bad debt issue inside the Morpho vault. It is important to be very clear: users who lent $1 of USDC into Morpho should receive $1 of USDC back. The issue is not around the original principal that was lent into the market. The issue is the excess interest that has accrued on top due to extreme utilization. That excess interest will effectively need to be sacrificed and remain as bad debt within the vault. This does not mean that lenders lose the dollar they originally lent. It means that the additional interest above principal cannot be safely paid out without creating unfair outcomes elsewhere. Because of this, the msY collateral currently inside the Morpho market will effectively remain there and be treated as written off from the rest of the system. The portion of backing associated with that msY will instead be allocated to USDC lenders in the Morpho market through a dedicated claim process. In practice, this means: msY outside of Morpho will continue to be bought through the pool/minter and redeemed over time. The circulating msY supply outside of Morpho will continue to be reduced as USDC becomes available. The msY left inside the Morpho market will remain there as the residual written-off supply. Morpho lenders will receive a separate USDC claim corresponding to the principal they originally lent. Once the remaining boxes have either expired or been liquidated, and the final amount of available USDC is known, we will create a dedicated claim contract for Morpho lenders. This ensures the process is based on final confirmed numbers and avoids creating unfair outcomes between different groups of users. The end state is designed to be clean: msY outside of Morpho is bought and redeemed through the minter until that circulating supply is reduced down, while the only remaining msY will be the written-off collateral inside the Morpho market. Morpho lenders will then claim USDC separately, and economically the system nets down as though the remaining redeemable msY supply has been reduced to zero. We understand that this has been a stressful period, especially for users affected by the Morpho market. The team is working through this carefully and methodically to avoid rushed actions that could create worse outcomes. The goal remains the same: continue liquidating boxes efficiently, restore liquidity through the minter for msY holders outside of Morpho, and ensure that Morpho lenders are able to recover the USDC they originally lent. We will continue to provide updates as more boxes are liquidated and as more USDC becomes available.

@Jacob_Bellows @0xAlphaping @LaurentAms13012 Look at elixir claim portal for exemple. Basically if mainstreet pays out then you get payout based on value at snapshot time withouth interest. Maybe that is why vault apy capped at 0% otherwise in a month the debt would be so big it would be stuck forever

@CryptoFuckerman @0xAlphaping @LaurentAms13012 What would a snapshot do?

Update: Another $800k worth of Altura positions have been liquidated on HyperEVM today. 🔥 Super happy to see the progress on the Altura vaults moving swiftly. Next week we expect some bigger moves on other vaults to happen. We will update you once it becomes factual.

@Lylo69 @0xAlphaping @nix_solace Mu digital was investing in an actual fund so different, wat is needed is more of an exchange confirmation.

@0xAlphaping @nix_solace Can you confirm your fund admin has been able to make a similar check for msY ?

@0xAlphaping @LaurentAms13012 Repayment is unlikely as interests are so high. Snapshot more likely.

The biggest "worry-child" of all markets currently is MSY. Unfortunately we can not disclose what stronger measures we are preparing in the backend. However, the following scenarios are possible, if MSY starts repaying: - Partial withdrawals as liquidity becomes available on Morpho (no queue system supported on Morpho) - If no repayment happen, then more traditional actions will be taken, which may result probably in a claims portal. Important is to not lose your vault deposit receipt token in any circumstances.

@0xAlphaping @Lylo69 When?

@Lylo69 We are awaiting their announcement they told us they will do.

@0xAlphaping @LaurentAms13012 Would msusd holders be included in claims portal?

@kobeeeezed @ArnoldoGendron @Main_St_Finance I hope nut did you read Accountable. I suspect they might of used their own wallets to prop up and show reserves it seems they don't currate sources much so data mght of been pulled from a source other then Deribit. Just speculating though.Maybe MSY in pendle andmorphowasincluded

@ArnoldoGendron @Main_St_Finance but stream lost 93m lol Mainstreet claims to be fully backed?

Mainstreet Update — Morpho, Proof of Reserves & Liquidity We want to address the current situation around the Mainstreet Morpho market and provide clarity. First and most importantly: Mainstreet remains fully backed. The recent shutdown of our third-party proof-of-reserves dashboard does not reflect any loss of assets or deterioration in portfolio quality. This is an infrastructure and reporting issue, not a solvency issue. As a result of the dashboard going offline, the oracle supporting the Morpho market is expected to pause within the next 24 hours. This has created understandable concern and triggered elevated borrowing rates as leveraged loopers rush to unwind positions. We are actively responding on multiple fronts: Engaging alternative proof-of-reserves providers to restore independent verification as quickly as possible. Continuing to unwind box spread positions and redeploy liquidity into the minter / Morpho ecosystem. Preparing to act as liquidity provider and liquidator of last resort if necessary to prevent disorderly market conditions. Over the past several days, we have already unwound our shortest-dated box positions and released free cash, with more than $8 million in USDC already transferred to the minter to support liquidity and assist with unwinds. Mainstreet’s core portfolio consists primarily of box spreads. These are structurally low-volatility positions designed to converge to fair value at expiry, making them highly predictable from a NAV perspective when held to maturity. However, box spreads are not always frictionless to exit early. Selling before expiry may involve: Transaction fees Wider bid/ask spreads Temporary market-maker discounts Liquidity-dependent haircuts based on expiry and position size This means that while our portfolio remains fully backed, converting positions into immediate liquidity depends on prevailing market depth and market-maker appetite. Our priority is clear: protect NAV while maximizing liquidity for the protocol. We are willing to accept elevated fees and modest execution costs to accelerate liquidity release, supported by the protocol insurance fund. However, we will not realize losses beyond the insurance fund purely to force immediate exits. If market pricing becomes materially irrational, we will allow positions to continue toward expiry and realize full value at settlement, as outlined in our risk disclosures and discussions with key partners. If borrowing rates continue to rise and liquidations occur, Mainstreet is prepared to step in as liquidator of last resort. As additional USDC is freed from box maturities and unwinds, part of that capital may be deployed to absorb and liquidate stressed Morpho positions to minimize bad debt risk. Weekend liquidity is currently limited, and market-maker quotes are materially less favorable than during normal trading hours, which temporarily slows execution. We expect to have a clearer picture over the coming days and will continue providing updates as progress is made. We understand this is a stressful situation and sincerely appreciate the community’s patience and trust. Our commitment remains unchanged: protect user funds, preserve NAV, and restore normal market conditions as quickly and responsibly as possible.

@dhtong @Main_St_Finance Agreed

@Main_St_Finance I want to believe you guys are solvent. Can you create some scheduled updates on this and when to expect next? Depending on the situation, some people might be open to investing more if risk / incentive is aligned.

@AccountableData Do sources need to be whitelisted or can new sources be added by the protocol.