Origin Dollar Earns Low Risk Rating from BlueChip

Origin Protocol disclosed a flash loan attack on their OETH Morpho market that resulted in a small yield loss of approximately 0.148 OETH. **No user principal was at risk.** **What happened:** - Attacker borrowed ~7,557 OETH via flash loan from Morpho - Called rebase() function to claim yield on borrowed amount - Swapped earned yield on Curve and repaid the loan - Total yield captured: ~0.148 OETH **Response timeline:** - Issue detected at 7:30 PM GMT - Fix applied by 10:08 PM GMT - Rebases temporarily paused during resolution **The fix:** Origin restricted rebase() calls to their Governor through a configuration change, eliminating the need for contract modifications. The team acknowledged this was a known theoretical risk but had kept the function permissionless to maintain decentralization. **Going forward:** Origin will cover the lost yield to the Morpho borrow booster and is exploring ways to close this vulnerability while preserving protocol permissionlessness. The Governor will call rebase() multiple times daily as an interim measure. View the [attack transaction](https://etherscan.io/tx/0xd897ed751f2b47860a92d58bb00bc3a9533d25724e79e0529a0a20db6dd31a1e) on Etherscan.

Origin Protocol's eETH Automated Redemption Manager (ARM) integrates Morpho lending to maintain consistent yields when arbitrage opportunities are scarce. **How it works:** - Primary strategy: arbitrages eETH price differences across AMMs and Ether.fi withdrawal queue - When eETH trades below peg, ARM buys discounted eETH and redeems 1:1 to capture spread - During idle periods, capital automatically routes to Morpho for lending yields **Performance:** - 5.7% APY over past 30 days - Outperforms base eETH staking (~3% APY) - Peak volatility periods have generated 30%+ daily APYs The strategy builds on Origin's proven stETH ARM, which has processed $2B+ volume over 2 years with 5.6% recent APY. Audited by OpenZeppelin and yAudit. [Explore eETH ARM](http://app.originprotocol.com/#/arm/1:ARM-WETH-eETH)

**Pendle Finance** now offers the first-ever **stETH volatility trading** market. - ARM protocol captures the spread between different stETH positions - Pendle transforms this into a tradeable market for users - Traders can now directly trade volatility exposure on staked Ethereum This creates a new DeFi primitive allowing users to speculate on or hedge against stETH price movements without holding the underlying asset. [Trade stETH volatility on Pendle](https://app.pendle.finance/trade/markets/0x53f940db819400f226466f5ad330c177a4be6b3c/swap?view=pt&chain=ethereum)

**Morpho's Borrow Booster markets** are offering negative interest rates on USDC loans, meaning borrowers get paid to borrow. **Key Details:** - Available on Base and Ethereum Mainnet - Base Super OETH market offering ~9.7% APY to borrowers - Higher LTV loops earn more rewards - Auto-deleverage feature reduces liquidation risk **How it works:** - OETH and Super OETH yield subsidizes borrow costs - Borrowers effectively earn money on USDC loans - Risk management through automatic deleveraging **Available Markets:** - [Base Super OETH](https://app.morpho.org/base/market/0x67a66cbacb2fe48ec4326932d4528215ad11656a86135f2795f5b90e501eb538/superoethb-usdc) - [Ethereum OETH](https://app.morpho.org/ethereum/market/0xb8fef900b383db2dbbf4458c7f46acf5b140f26d603a6d1829963f241b82510e/oeth-usdc) Check out these markets to explore earning while borrowing.

Origin Protocol has completed a **50 million $OGN token buyback**, with 80% of the volume occurring in the last six months following the approval of their buyback proposal. **Key developments:** - Protocol fees now directly fuel the buyback program - Staking rewards have significantly accelerated - Maximum locked $xOGN tokens currently earn approximately **33% APY** The buyback mechanism represents a shift in how the protocol redistributes value to token holders. By using protocol-generated fees to purchase tokens from the market, Origin creates consistent buying pressure while rewarding long-term stakers. The **33% APY** for maximum locked positions makes $xOGN one of the more attractive staking opportunities in DeFi, though returns likely vary based on lock duration and market conditions. Origin has set their sights on reaching **100 million tokens** in total buybacks, suggesting this program will continue as protocol revenues grow.