Quick take:
Morpho’s primary product Morpho Blue allows investors to earn yield by depositing into a marketplace vault.
The platform promises Borrowers a low cost of borrowing and higher liquidation loan-to-value (LLTV) rates.
Launched in 2022, Morpho has grown to become the fifth-largest lending protocol by TVL according to DeFiLlama.
Morpho, a crypto-lending protocol developed by Paul Frambot has raised $50 million in a strategic round led by Rabbit Capital. The fundraising also attracted participation from a16z crypto, Coinbase Ventures, Variant, Pantera, Brevan Howard, BlockTower, Kraken Ventures, Hack VC, IOSG, Rockaway, L1D, Mirana, Cherry, Semantic, Fenbushi, Leadblock Bitpanda and Robot Ventures.
Launched in 2022 while Paul was in his third year in college, in 2023 Morpho unveiled Morpho Blue, a trustless and efficient lending primitive with permissionless market creation. The product has been at the centre of its rapid growth that has seen it grow to become the fifth largest lending protocol with a TVL of $1.74 billion, according to DeFi Llama.
Morpho currently supports the Ethereum and Base blockchains, where as of this writing, it ranks fourth and second, respectively in terms of TVL.
The company’s lending marketplace allows investors to earn yield by depositing into a marketplace vault, while borrowers enjoy low costs of borrowing and higher liquidation loan-to-value (LLTV) rates.
Describing how the platform works, Frambot said in a Mirror post published last October that Morpho Blue “enables the deployment of minimal and isolated lending markets by specifying one loan asset, one collateral asset, a liquidation LTV (LLTV), and an oracle.”
The platform has already registered over $1.6 billion in deposits whilst facilitating more than $600 million in loans.
Morpho also allows other crypto companies to design lending and borrowing use cases without fragmenting liquidity.
“We need to bridge the gap for DeFi and make the actual integration into the fintech world, and Ribbit was an obvious partner for that,” Frambot told Coindesk. “Already there are incredible synergies in what we could achieve together for potential integrations in the real world, and not just like crypto leverage use case, which is, frankly, most of the use case of DeFi lending right now.”
The company raised $18 million in a funding round announced in 2022, while Frambot was still in college.
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The post Crypto Lending Protocol Morpho Raises $50M in a Strategic Round Led By Rabbit Capital appeared first on NFTgators .