> For the complete documentation index, see [llms.txt](https://unflat.gitbook.io/unflat-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://unflat.gitbook.io/unflat-docs/basics/how-your-funds-are-managed.md).

# How Your Funds Are Managed

Morpho vaults, their curators, and how unflat works behind the scenes.

## Where your money goes

When you move money to Savings, it goes into Morpho lending vaults on the Base network, run by third-party curators, today Steakhouse Financial and Gauntlet.

Your funds are not held by unflat. They move from your wallet into the vaults, and every transaction needs your signature.

## What is Morpho Protocol?

Morpho is an open lending protocol and one of the largest DeFi lending markets (the largest is Aave). It is made of isolated markets: each pairs one asset to lend with one asset accepted as collateral, under rules fixed when the market is created, so a problem in one market stays inside it. A vault spreads deposits across several markets.

Key facts about Morpho:

* **Public smart contracts** on Ethereum, Base and other networks
* **Core contracts** that can't be changed after deployment
* **Published audits**, listed in [Morpho's documentation](https://docs.morpho.org/get-started/resources/audits/)

## How the vaults are run

### Curators

Each vault is run by a curator, a risk team that chooses which markets the vault can use, how much it can put in each and what fees it charges. On unflat, today Steakhouse Financial and Gauntlet.

### Collateral on every loan

In every market, the collateral is worth more than the loan. If the loan passes the market's limit, a liquidator can repay the debt and take the collateral.

### Timelocks

Most changes a curator makes to a vault's risk settings take effect only after a waiting period, called a timelock, which gives depositors time to withdraw first.

### Public record

Deposits, yield and cover are public on the Base blockchain.

## Current stablecoin: USDC

Your money on unflat is held in USDC, a dollar stablecoin issued by Circle, which publishes its reserves on its [transparency page](https://www.circle.com/transparency). When you add euros by card or bank transfer, MoonPay or Coinbase converts them into USDC. The app can show your balance in euros.

{% hint style="info" %}
**Held in USDC.** Your money is held in USDC, a dollar stablecoin, so its value in euros moves with the exchange rate.
{% endhint %}

## Non-custodial architecture

unflat never holds your money: it stays in a wallet only you control. You sign in with email, Apple or Google, and your wallet is built on Privy. unflat can't recover your wallet; you can export your recovery key in Settings › Security. Never share it: it gives full control of your money.

This is different from a bank, where your deposit is a claim on the bank and the bank decides how to lend it.