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.
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.
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)
Morpho CEO: Engaged with multiple institutions; their interest in DeFi will not disappear
, Morpho CEO Paul Frambot posted on X that over the past week, he has communicated with several large institutions to understand their views on the current DeFi landscape. The core conclusions are as follows.First, institutional interest will not disappear. The reason is simple: distribution channels will not disappear — massive amounts of assets under management (AUM), payments, and lending businesses are moving on-chain. Almost all fintech companies aim to be fully on-chain. For institutions, this is not a question of "whether," but a matter of "necessity."Second, they have lost trust in the pool/hub model. Institutions and distributors want to control everything, including control over code, control over risk, and control over compliance. At the same time, they also desire flexibility — the ability to isolate their own operations and connect to a global liquidity network that is compatible with them.
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.
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.
Aave Sees $15.1 Billion Outflow in Three and a Half Days, Total Deposits Drop to $30.7 Billion
According to on-chain analyst Yujin (@EmberCN), since the rsETH incident, funds have continuously flowed out of the Aave platform—approximately $15.1 billion in total over 3.5 days. Total deposits dropped from $48.5 billion pre-incident to $30.7 billion, representing a withdrawal of roughly one-third of funds; stablecoin outflows amounted to $4.5 billion. However, due to this capital outflow, the platform’s stablecoin deposit APY temporarily remained elevated at 13.4%. During the same period, Morpho saw outflows of approximately $1.5 billion, with total deposits declining from $11.7 billion to $10.2 billion. In contrast, Spark experienced逆势 fund inflows: its TVL rose from $1.9 billion to $3.2 billion—an increase of about $1.3 billion—partly driven by reallocation from whales such as Justin Sun and institutions withdrawing from Aave.
Apyx: Launching Apyx 2.0 to Redesign the Capitalization Framework
According to official news from Apyx, during the recent Bitcoin decline, as STRC hit its historical maximum drop, the secondary market price of apxUSD fell to $0.90. Throughout the event, the protocol remained solvent, and no bad debts were generated in the Morpho lending market.In response to issues exposed during this stress test, such as inaccurate overnight liquidity and net asset value display, Apyx officially announced Apyx 2.0. This version introduces two independent metrics—redemption value and total collateral value—to eliminate the first-mover arbitrage option associated with NAV-based redemptions.Furthermore, Apyx 2.0 will launch a new RFQ redemption system, allowing approved counterparties to provide redemption execution around the reserve through competitive bidding. The team also officially committed that if apxUSD deviates from NAV by more than 2% in the future, a public status update will be released within 2 hours.
PT-sUSDD/USDT and PT-sUSDD/USDC markets officially launched on Morpho
Recently, the decentralized stablecoin USDD officially announced that the PT-sUSDD/USDT and PT-sUSDD/USDC markets have gone live on Morpho. Users can swap USDT for PT-sUSDD on Pendle, then collateralize PT-sUSDD on Morpho to borrow USDT or USDC and obtain liquidity. This strategy is supported by Gauntlet. Currently, the borrowing rates for related vaults are low; combined with PT-sUSDD’s annualized yield, there is room for leveraged (i.e., “looped”) lending operations. Theoretically, looping 10 times could generate an annualized return of nearly 30%. Users may participate according to their individual risk appetite.
Cian’s product Bondify has officially launched, with initial support for migrating sUSDat/AUSD Morpho positions.
According to official announcements, Bondify—the RWA liquidity protocol under the CIAN ecosystem—has officially launched (Bondify.xyz). Bondify is positioned as structured-product infrastructure for RWAs and yield-generating on-chain assets, aiming to transform inherently illiquid and hard-to-trade leveraged loop positions into portable, priceable, and tradable on-chain yield and position instruments. At launch, Bondify will initially support the native loop-position migration of Saturn sUSDat/AUSD on Morpho. For users who have already established loop positions on Morpho, migrating to Bondify enables them to sell future yield or points exposure from their positions ahead of time via Yield Tokens (YTs), thereby locking in part of their value upfront while retaining their original risk exposure. For users bullish on Saturn/STRC points or yield expectations but unwilling to set up full loop positions themselves, purchasing YTs allows them to gain yield/points exposure over a defined period with minimal capital outlay. Additionally, Bondify provides standardized loop-position representation and secondary-market trading capabilities, offering existing loopers more flexible options for position transfer and exit.
Morpho Releases Midnight Whitepaper, Introducing a Non-Custodial Protocol for Fixed-Rate, Fixed-Term Credit
Morpho announced on X platform the release of the Morpho Midnight whitepaper, unveiling a new non-custodial protocol specifically designed for fixed-rate, fixed-term credit markets. Meanwhile, the complete Midnight codebase has been open-sourced, and developers can directly access it via GitHub.
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)
Base Launches MCP Gateway, Enabling On-Chain Application Operations via AI Interfaces like ChatGPT and Claude
: Base, the Ethereum scaling network incubated by Coinbase, has launched Base MCP, aiming to connect AI interfaces with Base wallet infrastructure.Through this integration, users can use natural language commands in AI tools that support the MCP open standard to complete token swaps, fund transfers, and interact with Base ecosystem applications. Supported AI interfaces include Claude, ChatGPT, Cursor, and others.Base MCP will serve as a secure gateway between user Base accounts and AI interfaces. At its initial launch, it will connect with applications such as Morpho, Bankr, Moonwell, Avantis, Aerodrome, Virtuals, and Uniswap, covering scenarios including lending, swaps, perpetual contracts, new tokens, and AI Agent issuance.MCP stands for Model Context Protocol, originally proposed by Anthropic, and is an open standard for connecting AI models with external tools and data sources.
Related news
Apyx: Launching Apyx 2.0 to Redesign the Capitalization Framework
According to official news from Apyx, during the recent Bitcoin decline, as STRC hit its historical maximum drop, the secondary market price of apxUSD fell to $0.90. Throughout the event, the protocol remained solvent, and no bad debts were generated in the Morpho lending market.In response to issues exposed during this stress test, such as inaccurate overnight liquidity and net asset value display, Apyx officially announced Apyx 2.0. This version introduces two independent metrics—redemption value and total collateral value—to eliminate the first-mover arbitrage option associated with NAV-based redemptions.Furthermore, Apyx 2.0 will launch a new RFQ redemption system, allowing approved counterparties to provide redemption execution around the reserve through competitive bidding. The team also officially committed that if apxUSD deviates from NAV by more than 2% in the future, a public status update will be released within 2 hours.
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)
PT-sUSDD/USDT and PT-sUSDD/USDC markets officially launched on Morpho
Recently, the decentralized stablecoin USDD officially announced that the PT-sUSDD/USDT and PT-sUSDD/USDC markets have gone live on Morpho. Users can swap USDT for PT-sUSDD on Pendle, then collateralize PT-sUSDD on Morpho to borrow USDT or USDC and obtain liquidity. This strategy is supported by Gauntlet. Currently, the borrowing rates for related vaults are low; combined with PT-sUSDD’s annualized yield, there is room for leveraged (i.e., “looped”) lending operations. Theoretically, looping 10 times could generate an annualized return of nearly 30%. Users may participate according to their individual risk appetite.
Apyx’s stablecoin apxUSD briefly de-pegged to $0.93; the protocol stated this was part of its normal mechanism, not a system failure.
In response, Apyx stated that this is the expected behavior of a preferred-share-backed stablecoin—not a systemic failure—and highlighted that its stabilization mechanism features multiple layers of safeguards: the issuer can raise the dividend rate to drive preferred share prices back to par value, and the protocol maintains over-collateralization to absorb market-value fluctuations. Furthermore, Apyx noted that its primary Morpho lending market is driven by dividend accrual rather than the STRC spot price, thus avoiding cascading liquidation risks.
Cian’s product Bondify has officially launched, with initial support for migrating sUSDat/AUSD Morpho positions.
According to official announcements, Bondify—the RWA liquidity protocol under the CIAN ecosystem—has officially launched (Bondify.xyz). Bondify is positioned as structured-product infrastructure for RWAs and yield-generating on-chain assets, aiming to transform inherently illiquid and hard-to-trade leveraged loop positions into portable, priceable, and tradable on-chain yield and position instruments. At launch, Bondify will initially support the native loop-position migration of Saturn sUSDat/AUSD on Morpho. For users who have already established loop positions on Morpho, migrating to Bondify enables them to sell future yield or points exposure from their positions ahead of time via Yield Tokens (YTs), thereby locking in part of their value upfront while retaining their original risk exposure. For users bullish on Saturn/STRC points or yield expectations but unwilling to set up full loop positions themselves, purchasing YTs allows them to gain yield/points exposure over a defined period with minimal capital outlay. Additionally, Bondify provides standardized loop-position representation and secondary-market trading capabilities, offering existing loopers more flexible options for position transfer and exit.