DeFi Lending in Safe{Wallet}

Lend your stablecoins, WSTETH, WETH, and WBTC to major lending protocols via Kiln DeFi x Safe{Wallet}.

Put your stablecoins and other assets to work—effortlessly from Safe{Wallet}

• Seamless DeFi lending; Access top-tier DeFi protocols in just a few clicks, deposit and withdraw anytime.

• Sit back and earn; Enjoy automated reward compounding with zero manual action. Your earnings grow while you focus on what matters.

• Simple rewards tracking; Monitor your positions and track rewards, right from your first deposit, all within Safe{Wallet}.

• Claim all your additional Morpho rewards in one place.

Access Kiln DeFi from Safe{Wallet}

• After logging into the Safe app with your account, look for the "Earn" tab in the directory column on the left and click on it to access DeFi lending

Supported networks, assets & protocols

	Support
Networks	Ethereum Base
Assets	USDC, USDT, WBTC, WSTETH, WETH
Protocols	Morpho

Deposit assets into DeFi Lending

1. After logging into the Safe app with your account, click the "Earn" tab in the navigation column on the left.

2. Click the "Earn" tab at the top of the page and select the asset and amount you want to deposit

3. Click the green "Earn" button at the bottom of the page.

4. You will be redirected to the transaction confirmation page. Here you can configure the token allowance, which by default is going to be equal to the amount you wish to deposit. We do not recommend that you an unlimited token allowance, for security reason.

5. The token approval and deposit transactions will be bundled into a single Safe transaction, hit "Execute" at the bottom to proceed with the deposit.

Withdraw assets from DeFi Lending

1. After logging into the Safe app with your account, click the "Earn" tab in the navigation column on the left.

2. Click the "Withdraw" tab at the top of the page, select the position you wish to withdraw from, and the amount of assets you wish to withdraw. If you want to withdraw your full balance, simply click the MAX button below the input field.

3. Click the green "Withdraw" button at the bottom of the page.

4. You will be redirected to the transaction confirmation page, hit "Execute" at the bottom to proceed with the withdrawal.

FAQ

🪙 What is DeFi lending ?

DeFi lending is a way to earn passive income by lending your assets — such as USDC, USDT, WBTC, WSTETH, and WETH — to decentralized finance (DeFi) protocols.

When you lend your assets through a protocol, you're essentially providing liquidity that others can borrow. In return, you earn interest (also called rewards or yield) paid by the borrowers or the protocol itself.

🔍 What are the risk of DeFi lending ?

DeFi lending is not risk free.

Read our detailed overview of DeFi risks here.

↗️ What happens when I deposit?

When you deposit funds, you receive “shares” that represent your position. These shares are issued in the form of a soulbound ERC-20 token — meaning they cannot be transferred to someone else. You can see these shares as a claim to your position + accrued rewards since the deposit.

💸 How value accrues in my position?

These shares represent a yield-bearing position:

• Your number of shares does not change over time.

• Instead, each share becomes worth more USDC (or whatever other asset you deposited) as rewards from the lending protocol accumulate.

So even though your share count stays constant, the $/USDC value they represent increases.

🤔 Why I'm I receiving less than 1 "shares" when I deposit 1 USDC?

If you deposit 1 USDC, you might receive less than 1 share in return. This is expected: the value of 1 share is greater than 1 USDC, because it already includes accrued yield.

🔻 Why does my deposit transaction revert ?

You can check the transaction hash on Etherscan to identify the issue with your transaction. If it's not due to a low gas limit or insufficient fees, another possible reason could be that the lending protocol is currently not accepting additional deposits. In that case, you may want to try again later.

💸 Is there any fees taken when I deposit via Kiln DeFi ?

There are no deposit fees, meaning you can deposit and withdraw immediately without losing any Asset equivalent (eg. USDC). However, you will still need to cover network fees.

ℹ️ Is there any additional commission taken by Kiln for providing this service ?

Yes, Kiln charges a 10% fee on rewards. This covers the simplified access, reward management, and reporting across multiple DeFi lending protocols from Safe{Wallet}.

All amounts and return %'s shown are always net of these fees — what you see is exactly what you have earned or what you’ll receive after a withdraw.

💰When do I start earning rewards?

Rewards start accruing immediately after your first deposit. However, depending on the size of your position, it may take some time for them to appear in the reporting section. For example, if you deposit 1 USDC with a 4% annual yield, the rewards earned per block are very small — it can take a while before they are noticeable in USD terms.

💵 Are rewards guaranteed ?

No, Kiln cannot guarantee rewards from the lending protocols. The displayed reward rate reflects the current rate offered by the protocol and is subject to change. We recommend reviewing your position in the reporting section every few weeks and rebalancing to another lending protocol if you feel the reward rate has become too low.

↙️ When can I withdraw my position ?

You can withdraw instantly at any time from Kiln DeFi with no withdrawal fees — the amount displayed reflects exactly what you’ve earned and what you’ll receive. You can choose to withdraw your entire balance by clicking “MAX” in the interface or withdraw only a portion of your position.

Please note: if you make a partial withdrawal, your rewards will continue to show your total accumulated rewards since your first deposit.

🦋 Why is the rewards rate on Morpho are so high ?

Morpho is conducting a unique incentives campaign to celebrate their integration with Safe{Wallet}. As part of this campaign, additional Morpho rewards are available exclusively through the Safe{Wallet} deposit flow.

What kind of rewards can I expect?

When depositing through Safe{Wallet}, users will earn:

• Traditional lending rewards.

• Additional Morpho rewards, which are automatically accrued on top of your deposit.

How do I claim my additional Morpho rewards?

While on the "Overview" tab of the Earn page, click on any of your positions. You will be redirected to the following window:

Click "Claim additional rewards" to initiate the claim transaction flow.

Please note that although you are continuously earning these Morpho rewards, the amount earned during each week is only made claimable every Monday. Additionally, you may need to perform multiple claim actions to claim all your additional rewards.

Contact support

If you need help or have questions don't hesitate to contact Kiln Support.