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How Vault Yield Strategies Impact Crypto Lending Markets: Analysis of Deposit Asset Allocation

According to Cas Abbé, suppliers can deposit loan assets into a vault, which then allocates these assets across multiple lending markets to optimize yield over time (source: @cas_abbe, June 9, 2025). This approach diversifies risk and can enhance returns by leveraging the most favorable protocols. For traders, monitoring vault inflows and allocation strategies is crucial, as significant shifts may influence liquidity levels and interest rates across key DeFi platforms, directly affecting crypto lending yields and token valuations.

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