Morpho
MORPHODecentralized lending-borrowing protocol
News Heat Trend
Project Overview
Morpho is a lending protocol that combines the liquidity pool model used by Compound or AAVE with the capital efficiency of peer-to-peer matching engines used in order books. Morpho-Compound improves Compound by providing the same user experience, liquidity, and liquidation parameters, but with an increased APY due to peer-to-peer matchings.
Hyperscale Data establishes a Bitcoin-backed DeFi financing program via Morpho Protocol, with current borrowings of approximately $30 million.
According to PR Newswire, AI data center company Hyperscale Data (NYSE: GPUS) announced the successful implementation of a Bitcoin-backed DeFi financing strategy via the Morpho protocol. As of August 2, 2026, the company has completed approximately $30 million in Bitcoin-collateralized borrowing through the protocol, with a current variable interest rate of approximately 4.9%. The raised funds will be used to support the continued construction of its Michigan AI data center campus, as well as general corporate purposes such as daily working capital. The company stated that this move aims to transform its Bitcoin treasury from a passive reserve asset into a source of low-cost growth capital, while retaining exposure to Bitcoin's long-term appreciation and reducing reliance on dilutive equity financing.
SBI Holdings: Advancing On-Chain Transformation, Deploying "Token Economy" End-to-End Services
According to The Block, Japanese financial group SBI Holdings has recently made a series of aggressive moves, completing multiple major crypto investments in succession: exclusively investing $125 million in Gauntlet's Series C, $76 million in EDX Markets' Series C, spending approximately $289 million to acquire Japanese crypto exchange Bitbank, and taking a stake in Singaporean exchange Coinhako. In addition, SBI also participated in Digital Asset's $355 million financing, Morpho's $175 million token round, and Circle's $222 million token presale, and launched Japan's first trust bank-backed yen stablecoin, JPYSC. SBI stated that the company is driving the group's overall on-chain transformation, aiming to provide end-to-end services across exchanges, asset tokenization, market platforms, and other segments, to position itself ahead of the upcoming "token economy" era. Analysts point out that SBI is building Asia's first scaled on-chain asset management business; its strategic core is not purchasing crypto exposure, but controlling the infrastructure of the next-generation financial system. On the regulatory front, the Japanese parliament is advancing legislation to include cryptocurrencies as regulated financial instruments, and plans to significantly reduce the capital gains tax on crypto assets from 55% to 20% by 2028, aligning it with stocks and bonds, providing policy support for institutional entry.
Bio Protocol Launches OpenLabs, Plans to Support Scientific Projects and Agent Collaboration via USDC Yield Mechanism
DeSci protocol Bio Protocol has announced the launch of OpenLabs, positioning it as a coordination layer for human-agent collaboration in scientific research, aimed at transforming scientific ideas into funded execution projects. OpenLabs comprises five interconnected layers: Posts & Discovery, Projects, Agent Collaboration, Web3 Incentive Layer, and a Bounty System. Regarding incentives, OpenLabs plans to adopt a USDC yield-based funding mechanism to finance agent reasoning and tool usage. Users can deposit USDC and select projects to support; funds are allocated to audited yield vaults such as Morpho and Aave. The generated yield flows to projects for computation, queries, and simulations, while the principal assumes no risk. When a project reaches the stage requiring real capital, it can issue tokens via the Bio launchpad or pursue private fundraising and follow the traditional biotech path.
a16z Crypto Explains the Logic Behind Leading Morpho Investment: Betting on an On-Chain Open Credit Network
a16z Crypto has published an article explaining the rationale behind leading the investment in Morpho. It points out that credit is a core mechanism for modern economic growth and capital allocation, and that blockchain-driven open credit networks have the potential to lower the cost of financial infrastructure, enhance market competition efficiency, and provide global users with broader financing and yield opportunities. a16z Crypto disclosed that it first engaged with the Morpho team in 2022. Since the global financial crisis, the private credit market has grown rapidly, reflecting the market’s demand for more direct and efficient financing models. Meanwhile, institutions can issue their own lending markets that share the network’s liquidity and network effects. The infrastructure in this area is expected to dismantle traditional financial intermediary systems and build a global open credit network.
Morpho completes $175 million funding round, led by a16z Crypto and Paradigm
DeFi lending protocol Morpho has announced the completion of a $175 million funding round, led by a16z Crypto, Paradigm, and Ribbit Capital, with participation from Apollo Funds, Circle Ventures, VanEck, and other institutions.The report states that this funding round was priced based on the average price of Morpho tokens over the past month, corresponding to a valuation of approximately $2 billion for the protocol. Morpho allows institutions to customize lending markets and risk parameters on-chain and has already attracted adoption by institutions such as Coinbase, Kraken, Anchorage Digital, and Galaxy Digital.Data shows that Morpho's current Total Value Locked (TVL) is approximately $6.6 billion. The company stated that it will continue to expand its institutional-grade DeFi lending business and strengthen competition with lending protocols like Aave. (Fortune)
RWA leverage protocol 3F completes $4 million funding round, led by Maven 11
Odaily reports: 3F, a vault protocol built on the decentralized lending protocol Morpho, has completed a total of $4 million in funding. The round was led by Maven 11, with participation from F-Prime, GSR, Gate Ventures, and other institutions. The company did not disclose its specific valuation.Built on top of Morpho, 3F aims to provide users with leveraged exposure to RWAs through a "one-click" operation. Users simply select their target asset and desired leverage multiple, and the protocol automatically executes the entire position-building process: purchasing the underlying asset via short-term bridge financing, depositing it as collateral on Morpho, and borrowing stablecoins to repay the financing.Essentially, this mechanism simplifies the traditional "looping" process in DeFi, which involves repeatedly buying assets, depositing them as collateral, borrowing, and reinvesting. While this process can be executed efficiently via flash loans in purely crypto-native assets, it is typically more complex and less efficient in the RWA context due to issues like settlement delays.3F is expected to officially launch in the second quarter of this year.
Crypto Industry Organization Committee for Crypto Innovation Leads Submission of 238-Page Report, Calls on U.S. SEC to Clarify Regulatory Boundaries for On-Chain Treasuries
According to Crypto in America, the crypto industry organization Crypto Council for Innovation (CCI) and members such as Bitwise, Galaxy Digital, and Morpho submitted a 238-page report to the Securities and Exchange Commission (SEC), calling on regulators to clarify how existing securities laws apply to on-chain vaults (Vaults) and to establish a differentiated regulatory framework based on the degree of control human operators exert over user assets and investment decisions.
Blockchain Association Launches Vaults Workflow, Uniting Dozens of Member Institutions to Drive Policy Formulation
According to a post by the Blockchain Association (@BlockchainAssn), the Blockchain Association has officially launched the Vaults Workstream, bringing together dozens of leading member organizations including a16z Crypto, Aave, Uniswap, Grayscale, dYdX Foundation, Ethena, Morpho, and Multicoin to participate in Washington-based policy discussions on on-chain finance. As an emerging component of on-chain finance infrastructure, Vaults can provide users with diverse asset exposure, support composable and personalized investment strategies, and offer high flexibility in manual control, governance, and risk management. Members of this workstream will engage directly with the SEC to assist legislators in understanding Vault mechanics and the applicability of existing regulatory frameworks, with the goal of aligning regulatory rules with technological development to ensure the United States maintains its leading position in on-chain financial innovation.
SBI Holdings: Advancing On-Chain Transformation, Deploying "Token Economy" End-to-End Services
According to The Block, Japanese financial group SBI Holdings has recently made a series of aggressive moves, completing multiple major crypto investments in succession: exclusively investing $125 million in Gauntlet's Series C, $76 million in EDX Markets' Series C, spending approximately $289 million to acquire Japanese crypto exchange Bitbank, and taking a stake in Singaporean exchange Coinhako. In addition, SBI also participated in Digital Asset's $355 million financing, Morpho's $175 million token round, and Circle's $222 million token presale, and launched Japan's first trust bank-backed yen stablecoin, JPYSC. SBI stated that the company is driving the group's overall on-chain transformation, aiming to provide end-to-end services across exchanges, asset tokenization, market platforms, and other segments, to position itself ahead of the upcoming "token economy" era. Analysts point out that SBI is building Asia's first scaled on-chain asset management business; its strategic core is not purchasing crypto exposure, but controlling the infrastructure of the next-generation financial system. On the regulatory front, the Japanese parliament is advancing legislation to include cryptocurrencies as regulated financial instruments, and plans to significantly reduce the capital gains tax on crypto assets from 55% to 20% by 2028, aligning it with stocks and bonds, providing policy support for institutional entry.
Blockworks joins Coinbase and other crypto institutions to establish a Token Disclosure Alliance, promoting transparent disclosure standards akin to the stock market
the "Transparency Alliance," initiated by Blockworks, has been officially established, garnering support from over 40 crypto enterprises including Coinbase, Kraken, and Binance.US. The alliance aims to jointly develop unified token information disclosure standards to enhance market transparency and attract institutional capital. Based on Blockworks' Token Transparency Framework, the alliance seeks to establish a standardized information disclosure mechanism for crypto assets, similar to that of the stock market, enabling investors to gain a clearer understanding of token structures and risks.Reportedly, the framework covers details such as token issuance structure, internal holdings allocation, market maker arrangements, exchange listing terms, and repurchase mechanisms. It distinguishes between two types of document systems: "one-time pre-issuance disclosure" and "ongoing update disclosure." To date, 44 projects, including Morpho, Jupiter, Spark, and dYdX, have completed the relevant filings.Industry insiders point out that this initiative aims to establish a unified information infrastructure for the crypto market to meet institutional investors' demands for transparency and compliance. Blockworks stated that it has communicated with relevant personnel from the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Analysts believe that this alliance signifies the crypto industry is accelerating its shift towards an "institutionalized information disclosure system." However, its ultimate impact will depend on whether the market translates these disclosure standards into widespread industry consensus. (CoinDesk)
MoonPay Launches New Platform MoonPay Trade to Expand Tokenized Assets and DeFi Market
MoonPay has announced the launch of a new platform, MoonPay Trade, designed for banks, fintech companies, and enterprise clients. It provides unified access to tokenized assets, decentralized finance (DeFi) protocols, and stablecoin liquidity across over 200 blockchain networks.The platform is powered by Decent.xyz, a cross-chain routing infrastructure company recently acquired by MoonPay for a reported "high eight-figure USD amount." MoonPay stated that this product will serve as the core execution layer for its institutional business, MoonPay Institutional, which is led by former Acting Chairman of the U.S. Commodity Futures Trading Commission (CFTC), Caroline Pham.MoonPay Trade will support subscriptions for tokenized funds, collateral transfers, and integrations with DeFi protocols such as Aave, Morpho, and Maple Finance, enabling institutions to conduct lending and yield generation operations directly on-chain.Industry data shows that the current scale of tokenized real-world assets (RWA) has exceeded $33 billion, growing threefold within a year. Traditional financial institutions, including BlackRock, Franklin Templeton, and JPMorgan, have successively launched tokenized fund products, accelerating the influx of institutional capital into on-chain finance.MoonPay stated that as institutions continue to advance their tokenized asset strategies, its goal is to provide traditional financial institutions with the infrastructure capabilities for compliant access to on-chain markets through a unified interface. (CoinDesk)
Standard Chartered: Estimates Tokenized On-Chain Assets to Reach $4 Trillion by End of 2028
OdailyOdaily reports that Standard Chartered expects the market capitalization of tokenized on-chain assets to reach $4 trillion by the end of 2028, split evenly between stablecoins and real-world assets.Geoffrey Kendrick, Global Head of Digital Assets Research at Standard Chartered, stated that established DeFi protocols with strong risk metrics will be the primary beneficiaries. The composability of DeFi is a core advantage, citing BlackRock's BUIDL fund, which has approximately $2.85 billion in assets under management, as an example. BUIDL allows investors to earn yield while using the fund as collateral and maintaining liquidity. The passage of the Clarity Act is seen as a near-term catalyst accelerating the shift from traditional channels to DeFi.Data shows that Aave, the largest DeFi lending protocol, once ranked 38th among US banks in terms of asset size. Daily on-chain stablecoin lending volume stands between $1.5 billion and $2 billion. The lending product offered by Coinbase in partnership with Morpho has reached a loan size of $1.75 billion. (The Block)
Analyst: Robinhood Chain Meme Coin Trading Heat Declines, On-Chain Funds Flow More Toward Stablecoin Lending
Odaily Report: Crypto analyst The Smart Ape posted on X platform that data shows Robinhood Chain's daily Gas fees dropped from $8.4 million on September 4 to $34,000 on October 18, a decline of 99.6%. Comparing the most active 14 consecutive days with the most recent 14 days, Pons V2 fee revenue fell from $87 million to $7 million (-92%), GMGN from $22 million to $900,000 (-96%), and Axiom from $4.6 million to $300,000 (-94%). Additionally, the median price decline of Meme coins on the chain from their all-time highs reached 97%, with 72% of Meme coins falling by 90% or more.However, Robinhood Chain still had 873,000 active wallets last week, Gas fee revenue of approximately $345,000, and TVL hit an all-time high of $1.05 billion, of which about $480 million is concentrated in two stablecoin lending markets on Morpho, primarily involving leveraged arbitrage trading. Therefore, it is judged that the high-risk speculative capital on Robinhood Chain has clearly receded, with retained funds more concentrated in scenarios such as stablecoin lending, and there is a clear divergence between on-chain capital activity and TVL growth.
A whale invested $4.9 million four months ago to purchase assets such as BNB and ETH, and currently holds an unrealized profit of nearly $800,000.
According to monitoring data from Arkham, whale 0x355 invested nearly $4.9 million on Binance four months ago to purchase tokens such as BNB, ETH, LINK, PENDLE, MORPHO, and ENA. Currently, the value of this portfolio has increased by nearly $800,000 compared to the initial investment, primarily driven by the recent price appreciation of ETH and BNB. The other altcoins held by the whale have seen relatively smaller price movements due to their more recent purchase dates.
A certain ETH whale opened a position again after five months, spending 4.82 million USDT to buy 1,951 ETH
According to on-chain analyst Ai Yi, a certain ETH whale opened a position again after five months, spending 4.82 million USDT to buy 1,951 ETH at a cost of $2,469.6, and subsequently deposited it into Morpho.
Justin Sun unstakes another 5,000 ETH, still holding 238,000 stETH on-chain.
According to on-chain analyst Ai Yi (@ai_9684xtpa), Justin Sun has again unstaked 5,000 ETH, increasing his total Lido redemptions to 10,000 ETH since August 26. Following the prior redemption, he deposited $12.3 million worth of ETH into Poloniex across two transactions at an approximate price of $2,481 per ETH. From this latest batch of 5,000 redeemed ETH, 3,500 were routed to a Poloniex hot wallet (purpose unknown), while the remaining 1,500 were deposited into Morpho. Justin Sun currently holds 238,000 stETH on-chain, valued at approximately $594 million.
Data: Robinhood Chain stock token market cap surpasses $50 million, with holder addresses doubling since the start of the month
Odaily News: On-chain analyst Tom Wan stated on platform X that the total market capitalization of Robinhood stock tokens has reached $50 million, and the number of holders with positions valued over $1 has doubled since the beginning of the month. Additionally, the integration of Robinhood Chain stock tokens with DeFi continues to expand, now connected to DEXs such as Uniswap, Arcus, Deepstate, and Rialto, as well as Lighter perpetual contracts and the Morpho lending protocol.
An address buys and dumps YT reUSD, triggering approximately $36.39 million in Morpho liquidations.
According to monitoring by PeckShieldAlert, wallet address 0x854e...690d purchased YT reUSD in the market, driving the implied yield up to 20%, before quickly dumping the position and triggering the liquidation of approximately $36.39 million in PT reUSD loop positions on Morpho.
Lido Lend Lending Market Proposed, Pending Lido DAO Vote
Odaily News: Lido is developing a decentralized lending market called Lido Lend, which is built on a modified fork of Morpho Blue, adopts an isolated lending market design, is proposed to be governed by Lido DAO, and is pending a governance vote for approval. Lido Lend is limited to blue-chip assets, encourages price-correlated trading pairs such as stETH/ETH, and provides a deposit screening mechanism to guard against bad collateral. Lido stated that Lido Lend is not a general-purpose pool-based lending solution but is aimed at professional borrowers and risk-averse lenders; currently, stETH staking scale exceeds $25 billion, with no major security incidents since launch.
Analyst: Aftermath of rsETH Security Incident Continues; Demand for ETH Leveraged Loops Notably Cools
: On-chain analyst Tom Wan stated on platform X that the current ETH utilization rate has dropped below 90%, and the lending APY has fallen to 1.9%. Since the rsETH LayerZero cross-chain bridge was attacked, the deposits of wstETH and weETH have decreased by approximately $1.2 billion and $1.76 billion, respectively. As the strategy of leveraged looping wstETH/weETH against ETH becomes profitable again, market attention is turning to whether demand for ETH leveraged loops will return, or if capital will continue to wait on the sidelines or flow into protocols like Spark and Morpho.
Robinhood Stock Tokens Now Live on Morpho, Usable as Collateral to Borrow Stablecoins
Lending protocol Morpho announced that Robinhood stock tokens are now live on Morpho, allowing users to use stock tokens as collateral to borrow stablecoins. Any application can integrate with the credit market for stock tokens, with Morpho serving as the credit network and Robinhood Chain, under Robinhood Crypto, providing the tokenization infrastructure.
$2.3 Billion Outstanding Balance: Coinbase Crypto-Backed Loans Advance in Tandem with Onchain Bank Deposits
Coinbase's outstanding balance for crypto-backed loans has reached $2.3 billion, with the product launching in January 2025. Eligible users outside New York State can pledge Bitcoin to borrow USDC without selling their holdings, with loans routed through the Morpho decentralized lending protocol on the Base network. On September 22, Coinbase added fixed-rate loans through Morpho Midnight, and pledgeable assets have expanded to XRP, DOGE, ADA, and LTC. As of mid-September 2026, floating-rate loans have exceeded $1.4 billion, backed by approximately $3 billion in collateral.JPMorgan's JPMD tokenized deposits have been running on Base for institutions since mid-2026, with Citi and BNY Mellon also advancing related initiatives, and multiple UK banks planning to launch related networks in 2027.
Lido Lend Lending Market Proposed, Pending Lido DAO Vote
Odaily News: Lido is developing a decentralized lending market called Lido Lend, which is built on a modified fork of Morpho Blue, adopts an isolated lending market design, is proposed to be governed by Lido DAO, and is pending a governance vote for approval. Lido Lend is limited to blue-chip assets, encourages price-correlated trading pairs such as stETH/ETH, and provides a deposit screening mechanism to guard against bad collateral. Lido stated that Lido Lend is not a general-purpose pool-based lending solution but is aimed at professional borrowers and risk-averse lenders; currently, stETH staking scale exceeds $25 billion, with no major security incidents since launch.
Ledger Launches Bitcoin Lending Feature, Borrow USDC or USDT Against cbBTC or WBTC
Odaily reports: Hardware wallet company Ledger announced at TOKEN2049 in Singapore the launch of a self-custodial lending feature within its wallet app called Crypto Loan. Eligible users can use cbBTC or wBTC as collateral to borrow USDC or USDT.Users can open and manage loans directly within Ledger Wallet, track loan-to-value ratios, add collateral, repay loans, or increase borrowing. Key operations must be confirmed via hardware on a Ledger signing device before execution.The feature is powered by decentralized credit network Morpho, with Yield.xyz as the technology service provider. Ledger also announced that its signing devices can connect directly to Morpho without the need for browser extensions or software wallet connection protocols.Crypto Loan has begun rolling out to eligible users, with broader coverage to follow. If the price of collateral assets drops significantly, the related collateral may be subject to forced liquidation. (Decrypt)
Arbitrum Network Holds About $3.8 Billion in Stablecoins, USDG Lands in Its DeFi Ecosystem
Odaily News: Global Dollar (USDG), issued by stablecoin issuer Paxos, will launch in the DeFi ecosystem of Ethereum Layer 2 network Arbitrum, covering Morpho, GMX, Fluid, and Maple, with Kraken providing fiat on-ramp and off-ramp services.Arbitrum aims to capture a portion of the economic benefits generated by stablecoins on its network. The network currently holds about $3.8 billion in stablecoins, of which about 60% is USDC issued by stablecoin issuer Circle.Stablecoin alliances are growing. OpenUSD has gained support from Mastercard, Visa, Stripe, Coinbase, and Shopify, while Qivalis has secured backing from 37 European banks. (CoinDesk)
Blockchain Association Launches Vaults Workflow, Uniting Dozens of Member Institutions to Drive Policy Formulation
According to a post by the Blockchain Association (@BlockchainAssn), the Blockchain Association has officially launched the Vaults Workstream, bringing together dozens of leading member organizations including a16z Crypto, Aave, Uniswap, Grayscale, dYdX Foundation, Ethena, Morpho, and Multicoin to participate in Washington-based policy discussions on on-chain finance. As an emerging component of on-chain finance infrastructure, Vaults can provide users with diverse asset exposure, support composable and personalized investment strategies, and offer high flexibility in manual control, governance, and risk management. Members of this workstream will engage directly with the SEC to assist legislators in understanding Vault mechanics and the applicability of existing regulatory frameworks, with the goal of aligning regulatory rules with technological development to ensure the United States maintains its leading position in on-chain financial innovation.
Related news
Crypto Industry Organization Committee for Crypto Innovation Leads Submission of 238-Page Report, Calls on U.S. SEC to Clarify Regulatory Boundaries for On-Chain Treasuries
According to Crypto in America, the crypto industry organization Crypto Council for Innovation (CCI) and members such as Bitwise, Galaxy Digital, and Morpho submitted a 238-page report to the Securities and Exchange Commission (SEC), calling on regulators to clarify how existing securities laws apply to on-chain vaults (Vaults) and to establish a differentiated regulatory framework based on the degree of control human operators exert over user assets and investment decisions.
Pendle Q3 Report: Revenue per Dollar of TVL Up 76% YoY, Token Buybacks Reach 3.2x Emissions
Pendle officially cited Alea Research's Q3 performance report on the protocol via X and summarized the following key data points:1. The RWA (real-world asset) market has moved from the periphery to the mainstream, accounting for 82% of TVL;2. TVL grew 43% in Q3 while incentives were cut by more than half (over 50%);3. Revenue generated per dollar of TVL increased by approximately 76% compared to the same period last year;4. Buyback volume reached 3.2x token emissions;5. PT collateral across Morpho, Aave, and Euler doubled to $497 million.
A Year in Strong Tokens: Only 3 Categories Outperformed Bitcoin, AI and Privacy Sectors Rose Against the Trend
Odaily reports: DeFi researcher Ignas published a roundup of strong tokens for the year, noting that since the start of the year only three categories of tokens—trading, AI, and privacy—have outperformed Bitcoin, among which:1. Trading-related tokens have been the most outstanding performers: DRV gained 665%, HYPE rose 200%, PUMP rose 121%, and RAY rose 106%. The rally logic for these tokens is that speculative trading generates fee revenue for the protocols, which then support token value through buyback mechanisms.2. Among AI-related tokens, VVV rose 1431%, NEAR rose 203%, and GRASS rose 151%;3. Among privacy-related tokens, ZEC rose 137% and XMR rose 37%.In addition, Ignas also mentioned QNT and MORPHO in the institutional adoption narrative, which rose 173% and 89% respectively. However, aside from the above categories, most tokens have performed poorly this year. Finding tokens with strong revenue-generating capacity is currently a relatively easy trading approach to grasp.
Robinhood Stock Tokens Now Live on Morpho, Usable as Collateral to Borrow Stablecoins
Lending protocol Morpho announced that Robinhood stock tokens are now live on Morpho, allowing users to use stock tokens as collateral to borrow stablecoins. Any application can integrate with the credit market for stock tokens, with Morpho serving as the credit network and Robinhood Chain, under Robinhood Crypto, providing the tokenization infrastructure.
Analyst: Robinhood Chain Meme Coin Trading Heat Declines, On-Chain Funds Flow More Toward Stablecoin Lending
Odaily Report: Crypto analyst The Smart Ape posted on X platform that data shows Robinhood Chain's daily Gas fees dropped from $8.4 million on September 4 to $34,000 on October 18, a decline of 99.6%. Comparing the most active 14 consecutive days with the most recent 14 days, Pons V2 fee revenue fell from $87 million to $7 million (-92%), GMGN from $22 million to $900,000 (-96%), and Axiom from $4.6 million to $300,000 (-94%). Additionally, the median price decline of Meme coins on the chain from their all-time highs reached 97%, with 72% of Meme coins falling by 90% or more.However, Robinhood Chain still had 873,000 active wallets last week, Gas fee revenue of approximately $345,000, and TVL hit an all-time high of $1.05 billion, of which about $480 million is concentrated in two stablecoin lending markets on Morpho, primarily involving leveraged arbitrage trading. Therefore, it is judged that the high-risk speculative capital on Robinhood Chain has clearly receded, with retained funds more concentrated in scenarios such as stablecoin lending, and there is a clear divergence between on-chain capital activity and TVL growth.
$2.3 Billion Outstanding Balance: Coinbase Crypto-Backed Loans Advance in Tandem with Onchain Bank Deposits
Coinbase's outstanding balance for crypto-backed loans has reached $2.3 billion, with the product launching in January 2025. Eligible users outside New York State can pledge Bitcoin to borrow USDC without selling their holdings, with loans routed through the Morpho decentralized lending protocol on the Base network. On September 22, Coinbase added fixed-rate loans through Morpho Midnight, and pledgeable assets have expanded to XRP, DOGE, ADA, and LTC. As of mid-September 2026, floating-rate loans have exceeded $1.4 billion, backed by approximately $3 billion in collateral.JPMorgan's JPMD tokenized deposits have been running on Base for institutions since mid-2026, with Citi and BNY Mellon also advancing related initiatives, and multiple UK banks planning to launch related networks in 2027.