Morpho
Open lending network of isolated markets and curated vaults that route deposits into them.
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Morpho key facts
| Category | Lending protocol |
|---|---|
| Chains | Ethereum, Base and other EVM networks |
| Platforms | Web, SDK |
| Custody | Non-custodial |
| Security audits | Spearbit, ChainSecurity, Zellic, Blackthorn, Certora and others |
| Fees | Vault V2: curator performance fee up to 50% of interest and management fee up to 5% per year, both timelocked |
| US availability | Available: terms restrict only sanctioned jurisdictions |
MORPHO token
- Price
- $2.06 -0.1% 24h
- Market cap
- $1.4B
- Fully diluted value
- $2.1B
- 30-day change
- -14.7%
Market data: CoinGecko, updated Nov 9, 2026. Educational content, not financial advice.
What is Morpho?
Morpho is an open lending network built from isolated lending markets and vaults run by independent curators. Its audits page lists reviews by Spearbit, ChainSecurity, Zellic, Blackthorn and other firms through July 2026. In Vaults V2 a curator can set a performance fee of up to 50% of the interest earned.
How Morpho works
A Morpho variable rate market, also called a Blue market, pairs one collateral asset with one loan asset and is fixed at creation by five parameters: the two assets, the liquidation LTV (LLTV), an oracle and an interest rate model.
Anyone can create a market without a governance vote, but LLTV must come from a governance-approved list (38.5%, 62.5%, 77%, 86%, 91.5%, 94.5%, 96.5% and 98%), and the only approved rate model is the AdaptiveCurveIRM. The app names markets as LoanAsset | CollateralAsset (LLTV), for example USDC | cbBTC (86%).
When your LTV rises above the market's LLTV, anyone can repay part or all of your debt and seize collateral plus a bonus. The bonus comes from the Liquidation Incentive Factor, the smaller of 1.15 and 1 / (0.3 x LLTV + 0.7). At 86% LLTV the factor is about 1.05, a 5% bonus, and the entire incentive goes to the liquidator; the protocol takes no fee.
Most lenders use a Morpho Vault instead of a single market. In Vault V2, an Allocator moves deposits into yield sources through adapters, a Curator sets caps on exposures such as a collateral, an oracle or a protocol, and a Sentinel can reduce risk quickly. Most curator changes go through a timelock, and in-kind redemptions let you exit even when a vault is illiquid.
How to start with Morpho
- To lend, you pick a vault, and the curator behind it decides where your deposit goes, so compare curators, caps and fees before depositing.
- To borrow, you choose a specific market, supply the collateral asset and borrow up to its LLTV.
- The market page shows the oracle and IRM addresses, which are worth checking because every market can use a different oracle.
- Morpho also offers fixed rate markets under the name Midnight.
Morpho fees and limits
- The performance fee is charged on interest the vault earns and is capped at 50%.
- The management fee is an annual percentage of total assets and is capped at 5% per year.
Vault V2 curators can set two fees, both timelocked. Fees are collected by minting new vault shares to the fee recipients, so they come out of earnings rather than your deposited principal. Vaults V1 have only a performance fee. Borrowers pay the rate set by the AdaptiveCurveIRM plus gas.
Risks to know before using Morpho
- Morpho markets are immutable once created, the code is formally verified with Certora, and covered by a Cantina bug bounty of up to $2,500,000 across Morpho Blue, Midnight and Vaults.
- The docs flag oracle risk: a faulty or manipulated oracle can cause liquidations or bad debt in that market and in any vault allocated to it.
- They also flag counterparty risk, since a centrally governed asset could blacklist a user or Morpho itself.
- Vault safety depends on the curator's choices, and the docs note that some optional gate contracts can limit who can deposit or withdraw, which weakens the vault's noncustodial guarantees.
- Check whether a vault uses a gate before depositing.
Morpho usage
From DefiLlama (TVL) (fees users paid), updated Nov 9, 2026.
Morpho alternatives
Other projects people compare with Morpho.
Lending and borrowing protocol on Solana, formerly Solend.
Lending and savings protocol in the Sky ecosystem: SparkLend borrowing and Spark Savings for USDS and USDC.
Non-custodial lending protocol where users supply crypto to earn interest and borrow against collateral.
Lending protocol where each Compound III market lends one base asset, such as USDC, against crypto collateral.
Solana DeFi protocol for lending, borrowing, leveraged yield and automated liquidity vaults.
Onchain asset manager that lends to institutions and offers the syrupUSDC and syrupUSDT yield tokens.
Where Morpho ranks on DappAtlas
Listed next to Morpho
- Uniswap Decentralized exchange
- Lido Liquid staking
- Curve Finance Decentralized exchange
- CoW Swap DEX aggregator
- Pendle Yield platform
- EigenLayer Restaking
Morpho pros and cons
- Long public audit list, with Spearbit, ChainSecurity and Zellic reviews in 2025 and 2026
- Isolated markets keep one market's bad debt away from others
- Formal verification with Certora
- Vault curators can charge a performance fee of up to 50% of interest
- Vault risk depends on the curator you pick
- More choices to compare than a single-pool protocol
Morpho FAQ
What is Morpho?
Morpho is an open lending network built from isolated lending markets and vaults run by independent curators. Its audits page lists reviews by Spearbit, ChainSecurity, Zellic, Blackthorn and other firms through July 2026. In Vaults V2 a curator can set a performance fee of up to 50% of the interest earned.
How much value is locked in Morpho?
$10.9B according to DefiLlama on Nov 9, 2026. It is deployed on 45 chains: Ethereum, Base, Robinhood Chain, Arc, Arbitrum, Monad and others.
How much does Morpho cost?
Vault V2: curator performance fee up to 50% of interest and management fee up to 5% per year, both timelocked, according to Morpho’s own page (checked Sep 26, 2026).
How much do users pay Morpho in fees?
$27.7M over the last 30 days, according to DefiLlama on Nov 9, 2026.
Does Morpho have a token?
Yes, MORPHO. Its market cap was $1.4B on CoinGecko on Nov 9, 2026. Educational content, not financial advice.
Is Morpho available in the US?
Available: terms restrict only sanctioned jurisdictions, according to Morpho’s own page (checked Sep 26, 2026).
Does Morpho hold my funds?
No. Morpho is non-custodial: you keep your funds in your own wallet and sign each transaction.
Sources
How this page works
Sources: Morpho: official site, Morpho: Docs, Audits, Morpho: Fees. Data as of Sep 26, 2026.
Not affiliated with any project listed. Educational content, not financial advice.