MYRMIDONS
ALGORITHMIC STRATEGIES
← HOMEMYRMIDONS // DOCS
[ 01 // OVERVIEW ]

the stack: observe, classify, allocate.

MYRMIDONS is a research and execution stack for Morpho lending markets. It observes every Morpho market on eight chains, marks which markets are broken and which are investable, and moves its own vaults' capital to the best of them. The vaults and the reallocator run on HyperEVM (chain 999) only. The stack runs at proof-of-concept scale.

THE LOOP

MNEMON ──▶ samples every Morpho market // every 5 to 15 min

CLASSIFIER ──▶ flags broken markets, marks investable // server-side rules

HEGEMON ──▶ reallocates vault capital // simulated before sent

Every stage is public: the archive as static JSON, the risk engine as a versioned API, the reallocator's decisions as a live feed.

COMPONENTS

COMPONENTWHATWHERE
MNEMONMarket archive: sampling, classifier, flows
METRONStatistics library behind the risk engineinternal
RISK ENGINELiquidation capacity and risk metrics on the archive
HEGEMONVault reallocator botoperator server
LIVE FEEDThe reallocator's events. No stability promisevault pages, terminal tail
VAULTSERC-4626 Morpho vaults the bot managesHyperEVM
PORTFOLIOAny wallet's vault shares and Morpho Blue positionsmyrmidons-strategies.com/portfolio

PORTFOLIO reads positions from chain on the archived chains and adds the archive's view: a better-paying investable market for the same loan token, whether liquidity covers an exit, and health and liquidation price on borrows. USD values are estimates from archive prices and market oracles.

GLOSSARY

TERMMEANING
MarketOne Morpho Blue lending pool: one loan token, one collateral token, one oracle, one LLTV, one rate model. Markets are isolated from each other
VaultA pool of deposits that a curator allocates across several markets. Depositors hold ERC-4626 shares
Utilization (u)Borrowed divided by supplied. At 100%, lenders cannot withdraw until borrowers repay or new supply arrives
IRMInterest rate model. Morpho's adaptive model targets 90% utilization and keeps raising rates while a market stays above it
apy@targetThe borrow APY the rate model charges at its 90% target. It climbs while the market stays above target and falls while below
LLTVLiquidation loan-to-value: the debt-to-collateral ratio at which a position can be liquidated. Fixed per market
LIFLiquidation incentive factor: collateral a liquidator receives per unit of debt repaid. Set by the LLTV (details)
Health factor (HF)Collateral value × LLTV, divided by debt. Below 1, the position can be liquidated
Bad debtDebt left after a liquidation could not cover it. Morpho spreads the loss over the market's lenders
Exit ratioA market's available liquidity divided by the vault's position in it: how much of the position could leave now
OracleThe contract that gives a market its collateral price
bpsBasis points: 0.01%
$ man myrmidons · this page in the terminal