PT-cUSDO Now Available on Morpho Labs

Contango has officially begun the audit process for its v3 contracts with OpenZeppelin, marking a significant milestone in the platform's development. **Key Updates:** - v3 contracts now under formal audit with OpenZeppelin - Initial yAudit review completed, with fixes implemented - Contract size optimizations led to splitting some contracts to stay within Ethereum limits - Final yAudit review underway to verify recent changes **What's Next:** - UX beta MVP sneak peeks for user testing - Full v3 launch following security audits The team emphasizes their security-first approach, prioritizing thorough auditing over speed despite being in the final stretch before migration.

**New Trading Options Available** Two new long-dated Principal Tokens (PT) from Cap Money are now accessible for loopers: - PT-stcUSD-23JUL2026 - PT-cUSD-23JUL2026 **Important Considerations** Liquidity for these tokens is currently building up. Traders should exercise caution when entering positions due to developing market depth. **Recent Context** This follows the recent launch of two Ethena PT loops paired against different quotes (PT-sUSDe-7MAY2026 and PT-USDe-7MAY2026), which benefit from deep liquidity provided by Aave.

**Nexus** emerges as the **leading insurance protocol** in DeFi, operating on mainnet while providing comprehensive coverage across all chains where Contango is deployed. **Open Cover** functions as Nexus's **L2 alternative**, working in tandem to expand insurance accessibility and reduce costs. Key benefits: - Cross-chain coverage for Contango deployments - Mainnet security with L2 efficiency - Comprehensive DeFi protection Both protocols offer essential risk management tools for traders and liquidity providers in the evolving DeFi landscape.

**New Trading Opportunities Available** Ethena Labs has released new maturities for both USDe and sUSDe tokens, expanding options for traders and investors. **Deep Liquidity Benefits** - Aave's robust liquidity allows users to post **$1M margin** seamlessly - Zero slippage when closing positions if using same base and quote assets - Enhanced capital efficiency for large trades **Previous Context** This follows Ethena's successful Liquid Leverage launch, which attracted over **$1.5B in inflows** within its first week. Aave subsequently increased capacity limits: - ~$350M capacity for sUSDe - ~$300M capacity for USDe The expanded infrastructure enables more users to access leveraged exposure to sUSDe rates while maintaining better liquidity profiles through USDe holdings with no cooldown periods. *Ready to explore these new maturities and enhanced liquidity options?*

**Contango announces TANGO token buybacks** following the recent Balancer exploit response. **Key Details:** - Buybacks will use **100% of protocol fees** collected since the exploit - **100% of future protocol fees** will fund buybacks until v3 launch - Maintaining current **80/20 Balancer pool** as primary liquidity - Purchased tokens will be held in Treasury **Why This Matters:** - 80/20 pool offers **lower impermanent loss** for liquidity providers - Configuration **amplifies market impact** of buybacks - Supports healthier token environment during v3 transition **Timeline:** Buybacks executed via TWAP orders over coming weeks. Team will review pool performance after initial phase to determine next steps for protocol-owned liquidity. Contango remains fully operational with v3 development as top priority.