It seems that Bitcoin does not want to play a one-man show on the current stage. As the BTC/ETH exchange rate continues to hit new lows, Ethereum has finally taken a step forward and slowly started the engine. The DeFI ecosystem derived from the Ethereum ecosystem is also eager to move. Since the US dollar interest rate cut meeting a few months ago, the community has raised the banner of "DeFi rising again".
As one of the three pillars of DeFi development, the future development of decentralized lending is highly anticipated, and even the Trump team has intervened and announced the launch of the lending project WorldLibertyFinancial (WLF).
In the discussion of who will lead the revival of DeFi, Morpho, who announced in early August that it had received $50 million in financing and accumulated more than $80 million in financing, was nominated.
Now that Morpho is about to launch on The First spot area, let's speculate on how Morpho has emerged from the fierce competition in the decentralized mortgage market and what unexpected surprises it will bring to this market in the future. Let's step into The First's newly launched lending ecosystem - Morpho.
What is Morpho?
In the decentralized finance (DeFi) market, decentralized staking has become an important means to improve the cyber security of blockchain and motivate users. However, although staking can increase cyber security, fund efficiency and liquidity are still the main challenges it faces. For example, in the lending market, excessive collateral reduces fund efficiency, and when lending needs do not match, funds are often idle and cannot be fully utilized.
To solve these problems, DeFi protocols have introduced "peer-to-pool" and "peer-to-peer" (P2P) models. This model can match the needs of lenders and borrowers, thereby improving fund efficiency.
The Morpho protocol was created based on this idea to optimize the efficiency of lending pool funds. It is a lending pool optimizer built on lending protocols such as Compound and Aave . Through a peer-to-peer model, Morpho can match the needs of lenders and debtors, improve fund utilization, and maintain liquidity and clearing mechanisms.
Specifically, users can earn higher annualized returns (APY) in the Morpho protocol than traditional lending protocols, that is, P2P APY , and both lenders and debtors can benefit from it. Morpho improves capital efficiency through this innovation, reduces idle funds, and optimizes liquidity.
Morpho protocol is essentially a lending pool optimizer , which is built on the basis of mainstream lending protocols such as Compound and Aave . It matches the needs of lenders and debtors through the peer-to-peer (P2P) model, thereby improving the fund efficiency of the lending pool. The innovation of Morpho is that users can not only enjoy the high liquidity provided by platforms such as Compound, but also obtain higher APY (annualized rate of return) through the peer-to-peer matching mechanism, that is, P2P APY .
Specifically, the Morpho protocol allows users to interact with the Morpho-Compound marketplace, following the same collateral rates and clearing mechanisms as traditional Compound. However, unlike traditional models, when the needs of lenders and debtors are successfully matched, both parties can receive higher interest returns than the original underlying protocol. This model solves the problem of idle funds in traditional staking protocols, making funds more efficiently utilized.
II. Morpho Operating Mechanism
As an aggregator based on existing lending protocols, Morpho optimizes fund efficiency and improves the capital efficiency of lending pools by combining "peer-to-peer" (P2P) and "peer-to-pool" models. The innovation of Morpho lies in providing liquidity through existing lending pools (such as Compound, Aave, etc.), matching lending needs through peer-to-peer methods, optimizing fund usage, and enhancing the income experience of both lenders and borrowers.
Morpho team and financing information
The Morpho protocol was co-founded by Paul Frabot and Vincent Danos . After 9 months of development, it has received support from well-known investment institutions including a16z , Variant and Coinbase Ventures , with financing exceeding $20 million.
IV. Morpho Token Economics
The Morpho token is $MORPHO, with a maximum total supply of 1,000,000,000. The currently deployed tokens are non-transferable. The Morpho DAO (composed of MORPHO holders and principals) is responsible for managing the Morpho protocol. The governance system adopts a weighted voting system, where the number of MORPHO tokens held determines voting rights.
MORPHO holders can vote on changes or improvements to the agreement, including:
Future initiatives to develop the Morpho protocol.
Deployment and ownership of Morpho smart contracts.
Turn on/off the fee switch built into Morpho smart contract.
The token distribution plan is as follows:
Morpho DAO owned and controlled: 35.7% (375,000,000 MORPHO)
Strategic partners: 27.6% (276,000,000 MORPHO)
Founding team: 15.2% (152,000,000 MORPHO)
Morpho Association: 6.6% (66,000,000 MORPHO)
Morpho Laboratory Reserve: 6% (60,000,000 MORPHO)
Early contributors: 4.8% (48,000,000 MORPHO)
Agreement users and startup pool participants: 4.2% (42,000,000 MORPHO)
Analysis of Morpho's Future Value
Morpho, as an innovative DeFi lending optimization platform, has strong market potential and technological advantages. It brings more efficient fund utilization and better User Experience to the lending market, in line with the development trend of DeFi. With the participation of more users and the continuous development of the ecosystem, the $MORPHO token is expected to become an important asset in the DeFi field.
The continuous expansion and maturity of the DeFi market, especially in areas such as lending, derivatives, and stablecoins, means that the market demand for Morpho will continue to increase. Morpho's innovative model precisely caters to the urgent need of the current DeFi market to improve fund efficiency and optimize User Experience.
How to invest in Morpho and $MORPHO tokens
To invest in Morpho tokens, you can trade through The First platform . The First platform provides a convenient digital currency trading experience, supports the trading of $MORPHO tokens, and helps you quickly seize investment opportunities.
As one of the three pillars of DeFi development, the future development of decentralized lending is highly anticipated, and even the Trump team has intervened and announced the launch of the lending project WorldLibertyFinancial (WLF).
In the discussion of who will lead the revival of DeFi, Morpho, who announced in early August that it had received $50 million in financing and accumulated more than $80 million in financing, was nominated.
Now that Morpho is about to launch on The First spot area, let's speculate on how Morpho has emerged from the fierce competition in the decentralized mortgage market and what unexpected surprises it will bring to this market in the future. Let's step into The First's newly launched lending ecosystem - Morpho.
What is Morpho?
In the decentralized finance (DeFi) market, decentralized staking has become an important means to improve the cyber security of blockchain and motivate users. However, although staking can increase cyber security, fund efficiency and liquidity are still the main challenges it faces. For example, in the lending market, excessive collateral reduces fund efficiency, and when lending needs do not match, funds are often idle and cannot be fully utilized.
To solve these problems, DeFi protocols have introduced "peer-to-pool" and "peer-to-peer" (P2P) models. This model can match the needs of lenders and borrowers, thereby improving fund efficiency.
The Morpho protocol was created based on this idea to optimize the efficiency of lending pool funds. It is a lending pool optimizer built on lending protocols such as Compound and Aave . Through a peer-to-peer model, Morpho can match the needs of lenders and debtors, improve fund utilization, and maintain liquidity and clearing mechanisms.
Specifically, users can earn higher annualized returns (APY) in the Morpho protocol than traditional lending protocols, that is, P2P APY , and both lenders and debtors can benefit from it. Morpho improves capital efficiency through this innovation, reduces idle funds, and optimizes liquidity.
Morpho protocol is essentially a lending pool optimizer , which is built on the basis of mainstream lending protocols such as Compound and Aave . It matches the needs of lenders and debtors through the peer-to-peer (P2P) model, thereby improving the fund efficiency of the lending pool. The innovation of Morpho is that users can not only enjoy the high liquidity provided by platforms such as Compound, but also obtain higher APY (annualized rate of return) through the peer-to-peer matching mechanism, that is, P2P APY .
Specifically, the Morpho protocol allows users to interact with the Morpho-Compound marketplace, following the same collateral rates and clearing mechanisms as traditional Compound. However, unlike traditional models, when the needs of lenders and debtors are successfully matched, both parties can receive higher interest returns than the original underlying protocol. This model solves the problem of idle funds in traditional staking protocols, making funds more efficiently utilized.
II. Morpho Operating Mechanism
As an aggregator based on existing lending protocols, Morpho optimizes fund efficiency and improves the capital efficiency of lending pools by combining "peer-to-peer" (P2P) and "peer-to-pool" models. The innovation of Morpho lies in providing liquidity through existing lending pools (such as Compound, Aave, etc.), matching lending needs through peer-to-peer methods, optimizing fund usage, and enhancing the income experience of both lenders and borrowers.
- Combination of point-to-pool and point-to-point mode
- Point-to-pool model : Morpho builds on existing lending pools such as Compound and Aave to provide the same liquidity.
- Peer-to-peer matching : When users deposit assets in Morpho, Morpho will try to match them with borrower needs, forming a peer-to-peer lending relationship and improving the capital efficiency of the lending pool.
- Yield Improvement : Through peer-to-peer matching, both the debit and credit parties can obtain higher APY. Specifically, the debit APY is usually higher than the credit APY, and through Morpho matching, both the debit and credit parties can obtain a P2P APY between the two, which improves the yield of both parties.
- Separation of debt and deposits
- onComp : Deposit balances are measured by underlying lending pools such as Compound, for example in cToken or aToken.
- inP2P : The part matched through peer-to-peer lending, the deposit balance is measured by mToken, indicating the funds matched between the debit and credit.
- Debt Tracking Mechanism : Morpho can accurately track users' debt and deposit balances by managing deposits and loans separately between "onComp" and "inP2P".
Morpho team and financing information
The Morpho protocol was co-founded by Paul Frabot and Vincent Danos . After 9 months of development, it has received support from well-known investment institutions including a16z , Variant and Coinbase Ventures , with financing exceeding $20 million.
IV. Morpho Token Economics
The Morpho token is $MORPHO, with a maximum total supply of 1,000,000,000. The currently deployed tokens are non-transferable. The Morpho DAO (composed of MORPHO holders and principals) is responsible for managing the Morpho protocol. The governance system adopts a weighted voting system, where the number of MORPHO tokens held determines voting rights.
MORPHO holders can vote on changes or improvements to the agreement, including:
Future initiatives to develop the Morpho protocol.
Deployment and ownership of Morpho smart contracts.
Turn on/off the fee switch built into Morpho smart contract.
The token distribution plan is as follows:
Morpho DAO owned and controlled: 35.7% (375,000,000 MORPHO)
Strategic partners: 27.6% (276,000,000 MORPHO)
Founding team: 15.2% (152,000,000 MORPHO)
Morpho Association: 6.6% (66,000,000 MORPHO)
Morpho Laboratory Reserve: 6% (60,000,000 MORPHO)
Early contributors: 4.8% (48,000,000 MORPHO)
Agreement users and startup pool participants: 4.2% (42,000,000 MORPHO)
Analysis of Morpho's Future Value
Morpho, as an innovative DeFi lending optimization platform, has strong market potential and technological advantages. It brings more efficient fund utilization and better User Experience to the lending market, in line with the development trend of DeFi. With the participation of more users and the continuous development of the ecosystem, the $MORPHO token is expected to become an important asset in the DeFi field.
The continuous expansion and maturity of the DeFi market, especially in areas such as lending, derivatives, and stablecoins, means that the market demand for Morpho will continue to increase. Morpho's innovative model precisely caters to the urgent need of the current DeFi market to improve fund efficiency and optimize User Experience.
How to invest in Morpho and $MORPHO tokens
To invest in Morpho tokens, you can trade through The First platform . The First platform provides a convenient digital currency trading experience, supports the trading of $MORPHO tokens, and helps you quickly seize investment opportunities.
- Visit the official website : Log in to The First platform official website ( https://www.byetf.net ) , make sure you are using the official link to ensure account security.
- Register/Login : Create an account and complete identity authentication to start trading.
- Buy $MORPHO tokens : Search for Morpho or $MORPHO tokens and choose the appropriate pair to buy.
- Keep an eye on market dynamics : Regularly check market dynamics in order to make investment decisions at the right time.
