Mantle has launched a decentralised finance version of Mantle Vault, allowing users to deposit USDC and USDT0 on its network for variable yield through a non-custodial structure built with Grove, CIAN and Fluxion. The release moves the product beyond its earlier centralised finance format, which Mantle said had accumulated more than $200 million in assets under management.
The new vault channels deposits into a strategy with exposure to sUSDS, the yield-bearing savings token associated with Sky Protocol, while also offering Fluxion Points and a separate GROVE token incentive programme. Mantle said the strategy does not use leverage and that users can view the underlying position structure on-chain.
The launch gives stablecoin holders on Mantle a route to access yield generated through Sky’s savings infrastructure without handing assets to a centralised custodian. It also adds several protocol layers to the process: Mantle provides the chain, Grove supplies the savings connection, CIAN designs the vault strategy, and Fluxion serves as the user access and liquidity layer.
Incentives target returns of up to 6.5% APY
Mantle said the programme will distribute 5.14 million GROVE tokens and is designed to offer yields of up to 6.5% APY. That figure includes incentives and is not a fixed return from the underlying savings strategy.
The company said rates, programme duration and eligibility conditions may change as market conditions evolve, while token rewards are not guaranteed. Users assessing the vault’s returns will therefore need to separate the base yield derived from sUSDS from the temporary value of GROVE incentives and Fluxion Points.
That distinction is especially relevant for structured stablecoin vaults. A headline APY can combine protocol-generated income with emissions that have a defined allocation or a limited campaign period. Once an incentive allocation ends, the return available to depositors may fall even if the base strategy continues operating as designed.
The underlying sUSDS component connects the vault to the Sky Savings Rate, according to the companies. Sky governance sets that rate, while the Sky Agent Network delivers the strategy through governance-approved capital allocation activities. Grove Savings acts as the on-chain interface through which the Mantle vault accesses that system.
Grove and CIAN extend an existing Mantle Vault product
CIAN, a protocol infrastructure provider, said it had built the earlier version of Mantle Vault and worked with Grove to extend the product into DeFi. The centralised version had already passed $200 million in assets under management, according to Mantle, providing an existing user base and product history for the new rollout.
The DeFi version changes the custody model. Rather than placing funds into a conventional managed product, users interact with smart contracts that execute the vault strategy. Mantle described the design as non-custodial, meaning depositors retain control through their own wallets rather than transferring ownership of assets to a centralised platform.
Non-custodial access does not remove every form of risk. The vault depends on smart contracts and on the operation of multiple connected protocols, including Mantle, Grove, Sky’s savings mechanisms and Fluxion. A non-leveraged strategy reduces exposure to borrowing and forced liquidation, but depositors remain exposed to software vulnerabilities, governance decisions, stablecoin risks and changes in the available yield rate.
Mantle’s emphasis on strategy transparency addresses a common concern in on-chain yield products, where users can struggle to determine where deposited assets are ultimately deployed. In this case, the companies said deposits receive sUSDS exposure through Grove, rather than being routed into a leveraged trading or lending strategy.
Mantle links RWA growth to new stablecoin vault
The vault launch arrives as Mantle reports sharp growth in activity tied to real-world assets, or RWAs. The company said RWA total value locked on Mantle rose from $22 million to $257 million over the past year, while total DeFi TVL on the network exceeded $755 million.
TVL measures the value of assets deposited in applications on a blockchain. It can increase when users bring in new capital, but it can also rise with token prices or changes in how protocols account for deposited assets. Mantle’s figures nonetheless point to its effort to position the network around stablecoin liquidity, tokenised assets and yield products rather than relying only on speculative trading activity.
The company also cited stablecoin market size of $955 million on the network and said its main blockchain had crossed $1 billion in total value locked in mid-year data. Those figures, if sustained, would give a stablecoin-focused vault more local liquidity and a larger pool of potential users than an isolated application launch.
Fluxion said it will provide the vault’s access and liquidity layer. The platform reported more than $1 billion in accumulated trading volume and a weekly peak above $100 million. Its role is intended to make the vault available to stablecoin holders within Mantle’s DeFi environment, including users who may want to move between tokens and yield-bearing positions without leaving the network.
Returns will depend on the base savings rate and incentives
The performance of the vault will depend primarily on the Sky Savings Rate and on the continued availability of promotional rewards. The supplied materials refer to a base savings return of about 3.6%, placing the advertised yield of up to 6.5% in the context of a substantial incentive component rather than purely organic income.
sUSDS had reached a circulating supply of $6.49 billion earlier in the year, according to the figures provided in the announcement materials. That scale gives the Mantle integration exposure to an established on-chain savings asset, though it also means the vault’s economics are closely tied to policy choices made through Sky governance.
Mantle’s launch places a previously centralised vault inside a fully on-chain stack at a point when the network is seeking to expand its stablecoin and RWA liquidity. The immediate test will be less about the initial incentive headline than whether deposits, liquidity and base yield remain durable after the GROVE distribution terms begin changing.
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