Stake DAO LMAP #2: What It Means for SDT Token
Published 6/12/2026, 7:41:56 AM
TL;DR: LMAP #2 is a governance vote to add the Stake DAO frxUSD/sDOLA LP token as collateral on Morpho's frxUSD v2 vault, with a $250,000 supply cap and 86% LLTV. The vote closes June 12, 2026. If passed, SDT holders who provide liquidity in the frxUSD/sDOLA Curve pool can use their LP tokens as collateral to borrow against while still earning yield — improving capital efficiency.
What LMAP #2 Proposes
| Parameter | Value |
|---|---|
| Action | Add frxUSD/sDOLA LP as collateral to frxUSD v2 vault |
| Platform | Morpho (Ethereum) |
| Supply Cap | $250,000 |
| LLTV (Loan-to-Value) | 86% |
| Vote Closes | June 12, 2026 |
The proposal follows the LMAP-1 precedent (May 2026), which added the frxUSD/sUSDS LP with a 94.5% LLTV and $400K cap — LMAP-1 passed with 8.1M votes and 100% approval [Source: https://x.com/StakeDAOHQ/status/2055580457014534441].
Implications for SDT Token Holders
1. Expanded Capital Efficiency SDT holders who provide liquidity in the frxUSD/sDOLA Curve pool (currently ~$985K TVL, 9.35% APY) can now use their LP tokens as collateral on Morpho's frxUSD v2 vault. This allows them to earn yield and borrow against their position simultaneously [Source: https://x.com/StakeDAOHQ/status/2064426420789473607].
2. Indirect Protocol Benefits The frxUSD v2 vault currently holds $5.77M in deposits with a 9.45% net APY [Source: https://app.morpho.org/ethereum/vault/0xCE13e39534082FCF8f13F6D84e6D95414D14271e]. Expanding collateral options can attract more TVL, potentially growing protocol revenue.
3. Governance Participation SDT holders who lock tokens as vlSDT can vote on LMAP proposals. The governance framework was updated in SDGP-66/63 (Feb–Mar 2026) following the veSDT → vlSDT migration.
Current Status and Timeline
The vote is live and closes June 12, 2026, unless a super-quorum is reached earlier [Source: https://coindar.org/en/event/stake-dao-to-close-lmap-2-vote-on-june-12th-148872]. SDT holders with governance rights can participate via Snapshot at snapshot.org/#/stakedao.eth.
Key Metrics
| Metric | Value |
|---|---|
| SDT Price | ~$0.10 |
| SDT Market Cap | ~$6.8M |
| frxUSD v2 Vault TVL | $5.77M |
| frxUSD v2 Vault Net APY | 9.45% |
| frxUSD/sDOLA Pool TVL | ~$985K |
| frxUSD/sDOLA APY | 9.35% |
| LMAP-1 Vote Result | 8.1M votes, 100% For |
Conclusion
LMAP #2 is a targeted collateral expansion vote that, if passed, will allow SDT liquidity providers to lever up their positions on Morpho — increasing capital efficiency without requiring them to exit their LP positions. The precedent from LMAP-1 (100% approval) suggests strong community support, but the lower $250K cap and 86% LLTV reflect a more conservative risk stance for this second proposal.
What's open: Voter turnout and whether the super-quorum threshold will be met before the June 12 deadline remains to be seen.
Suggested Next Steps
- Check your vlSDT governance weight — if you hold SDT, lock it to participate in the vote before June 12.
- Monitor the frxUSD/sDOLA pool metrics on Morpho post-vote to assess whether the collateral addition drives measurable TVL growth.