Integrate PT-cUSDO Looping on Base via Spectra PTs

Summary:
We propose adding Spectra PT Looping via PT-cUSDO on Base via this Morpho Vault. This will enable users to access supply PT-cUSDO at 23.88% Fixed Rate APY while borrowing at 5% APY

How It Works:

1. Spectra PTs (Principal Tokens) unlock fixed-term yield streams from cUSDO.

2. Supply Spectra PTs as Collateral in Morpho

3. Borrow USDC at 91% LTV

4. Buy more Spectra PT-cUSDO

5. Repeat until desired leverage is achieved

Strategic Value for Odyssey

• Helps capture DeFi-native users who seek advanced structured products.

• Creates “sticky” TVL, as PT looping compounds returns over time.

Technical Fit

• Morpho market (USDC) and Spectra’s PT markets are fully onchain and EVM-compatible.

• Odyssey can easily route deposits through the looped flow via smart contract adapters or recipes.

• No extra custody, no lockup—users can exit at any time.