May 2025 Rebalancing Report: ETH Strategies Lead Capital Flows

πŸ”„ ETH Vaults Eat Stablecoins

By Summer.fi
Jun 9, 2025, 3:27 PM
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In May 2025, Summer.​fi protocol saw a significant shift towards ETH-denominated strategies.​

Key movements:

  • Morpho Labs Flagship WETH, Euler Finance Prime WETH, and Morpho Steakhouse WETH emerged as top gainers
  • Notable increase in both TVL share and absolute dollar inflows for ETH strategies
  • Stablecoin vaults, including Morpho Gauntlet USDC, experienced declining shares and outflows

Users demonstrated clear preference for higher-yield volatile strategies over conservative stablecoin positions.​

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Read more about Summer.fi

Lazy Summer Protocol Automates DeFi Yield Management

The Lazy Summer Protocol has demonstrated significant efficiency gains in its first week of operation. The protocol achieved: - $27.05M Total Value Locked - 214 active users - 910 automated rebalancing actions - 72.8 hours of collective user time saved - $5,470.25 in gas cost savings The protocol's AI-powered keepers automatically handle yield optimization and risk management within governance-set parameters. This automation allows users to step away from manual position management while maintaining optimal yields. Learn more about the rebalancing mechanism in this [detailed walkthrough](https://youtu.be/-0dbc5rM5YM) by @samehueasyou.

VaultSwitch Launches on Summer.fi: One-Click Yield Position Switching

Summer.fi has launched VaultSwitch, a new feature enabling users to reposition between ETH and stablecoin yields in a single transaction. Key features: - Switch between ETH, stables, and high-risk ETH vaults - No yield interruption during transitions - Available on Mainnet, Base, and Arbitrum - Continuous $SUMR rewards during repositioning The launch comes amid significant ETH price movement (+19.3% in 24h, +28.2% in 7d), offering timely portfolio rebalancing capabilities. Future updates will include: - Higher-risk USDC options - BTC vaults - Additional vault types Try VaultSwitch at [Summer.fi](http://summer.fi)

Summer.fi Introduces Higher-Risk USDC Vault Strategy

Summer.fi has launched a new Higher-Risk USDC Vault, complementing their existing Lower-Risk option that currently offers 6.70% APY. The platform aims to democratize advanced DeFi strategies while maintaining a balance between risk and yield. Key points: - Lower-Risk Vault performance: - 30-day APY: 6.70% - Current live APY: 6.42% - Total deposits: $21.55M USDC - Capacity: 71.86% filled Learn more about the Higher-Risk strategy in their detailed [YouTube explanation](https://summer.fi/earn/mainnet/position/0xe9cda459bed6dcfb8ac61cd8ce08e2d52370cb06)

DeFi Market Watch: Ethereum Activity Surges Despite TVL Decline

DeFi Market Watch: Ethereum Activity Surges Despite TVL Decline

Despite a 27% decrease in DeFi TVL during Q1, Ethereum shows robust network activity with $2.2M in fees on April 7, outpacing Solana's $960K. This indicates sustained engagement with on-chain services. Key developments: - Restaking protocols and LSTs gaining traction - Yield opportunities re-emerging across DeFi - Network activity remains strong despite TVL fluctuations [Summer.fi](http://summer.fi) provides a unified dashboard for managing DeFi positions across multiple protocols, offering automation and monitoring tools for experienced users navigating the evolving landscape.

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