Paris-based Morpho, a startup developing a decentralized protocol for crypto lending and borrowing on Ethereum, has raised €46.1 million ($50 million) in a new funding round. The investment was led by Ribbit Capital, with participation from strategic partners including a16z crypto, Coinbase Ventures, Variant, Pantera, Brevan Howard, BlockTower, and Kraken Ventures.
The fresh capital will enable Morpho to further decentralize its network and promote its mission of making financial infrastructure a public good. CEO and co-founder, stated, “This investment is a testament to our vision of creating an open, layered financial system.” The company plans to expand its ecosystem, offer grants, and position itself as a leading infrastructure for DeFi, institutional, and fintech lending applications.
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Innovative Products and Technology
The firm initially launched with the Morpho Optimizer, enhancing interest rates on platforms like Aave and Compound. The company has since evolved into an independent financial infrastructure with a network of purpose-built protocols layered on a shared base layer. The new Morpho Blue protocol serves as a permissionless lending protocol for risk management and specialized products, surpassing €1.56 billion in deposits on Ethereum within six months.
Strategic Partnerships and Market Impact
The investment from Ribbit Capital connects the company to a global network of portfolio companies, including Revolut, NuBank, Coinbase, Robinhood, Mercado Libre, Figure, and Uniswap. This strategic backing is expected to drive significant growth and innovation in the decentralized finance sector.
With this substantial funding, the french startup is poised to enhance its technology and expand its market presence, reinforcing its role as a key player in the global crypto lending landscape.
