Steakhouse Financial launched the first DeFi yield product built for confidential USDC (cUSDC), deploying the Steakhouse Confidential USDC Prime vault on Morpho with confidentiality powered by the Zama Protocol. The vault gives confidential USDC holders access to the same yield strategy as Steakhouse's flagship USDC Prime vault, with deposit sizes, direction, and entry timing kept encrypted onchain. Deposits open June 23, 2026.

Confidential USDC is USDC whose amount and balance stay encrypted onchain using Fully Homomorphic Encryption (FHE) via the Zama Protocol, already live on Ethereum mainnet. The new vault routes deposits into yield-generating vaults: users shield standard USDC into cUSDC in one transaction through the Zama app, deposit the cUSDC into the Confidential USDC Prime vault, and earn yield from the underlying Steakhouse USDC Prime vault on Morpho.

There is no bridging, no new chain, and no new wallet. The vault is the same Steakhouse Prime v2, the firm's oldest USDC vault on Morpho, with unchanged parameters, credit strategy, and collateral basket of cbBTC, WBTC, and wstETH through Morpho Blue markets. Morpho is a leading lending protocol with over $11 billion in deposits, and Steakhouse manages more than $4.5 billion in TVL across vaults.

The vault is the first product in a broader Zama and Morpho integration. To kick off the launch, a shielding campaign runs on the Zama app from June 17 to June 22 at 23:59 CET. Every 10 USDC shielded into cUSDC earns one entry into a June 23 onchain draw conducted with FHE-powered randomness, capped at $500 per wallet.

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