Glassnode’s September snapshot of Ethereum vaults shows a 15% rise in the total value locked, bringing the sample to roughly $10 billion – its highest since November 2025. Despite the growth, the vaults’ annualized yield fell short of the return earned by staking the same amount of ETH. The research firm’s analysis, published on 30 October, compares vault performance to the benchmark of staking, which is the most direct way an ETH holder can earn passive income while keeping the token in hand. The vaults, which pool deposits into curator‑managed DeFi strategies, therefore failed to clear the staking hurdle in September.

ETH / USD
Source: CoinGecko. Prices are indicative.

Dollar Vaults Outpace Treasuries

In contrast, vaults that invest in dollar‑denominated strategies beat U.S. Treasury bonds for the third consecutive month, according to Glassnode’s performance review. The comparison is made against the benchmark yield of Treasuries, a standard for cash‑like returns. While the vaults’ higher yield demonstrates a premium over the risk‑free rate, the data does not clarify whether the extra return compensates for the additional risks inherent in the vaults’ underlying protocols.

Methodology Matters

Glassnode’s methodology weighs the largest qualifying vaults by total value locked, with a $1 million minimum for each. The firm’s staking comparator is based on liquid‑staking tokens such as Lido’s stETH, but the exact staking return used in the September comparison is not disclosed. Vaults.fyi, another yield‑data provider, separates the total return of a vault into the underlying protocol yield and the vault’s contribution, a distinction that can significantly affect the reported performance. The article notes that fee structures – including performance fees up to 50% and management fees up to 5% – can further erode the net return to depositors.

What to Watch Next

Investors should monitor how vaults adjust their fee schedules and risk parameters, as these changes can alter the net yield relative to staking. Additionally, the evolving liquidity and withdrawal terms of both vaults and liquid‑staking protocols may impact the practical ability to access funds. Finally, analysts will likely compare the vaults’ performance against other cash‑equivalent benchmarks to assess whether the premium over Treasuries remains sustainable in a tightening rate environment.