Market Dead deposit

This tutorial explains how to set up a dead deposit for a variable rate market.

A dead deposit is a security measure against ERC-4626 inflation attacks (read more).

Setting up a dead deposit involves supplying 1e9 shares to the target market, on behalf of address 0x000000000000000000000000000000000000dEaD, through a simple process on a block explorer like Etherscan, via the supply() function.

Unlike Vault V2 dead deposits, market dead deposits always require exactly 1e9 shares regardless of the asset's decimals. This is because Morpho markets use a fixed VIRTUAL_SHARES = 1e6 constant (from ConstantsLib), not a decimal-dependent formula. For a cbBTC/WBTC market (8 decimals), 1e9 shares costs only 1000 satoshis ($0.63).

Find the Morpho contract on the target chain in the Addresses page.
Approve the Morpho contract to spend the market's loan token on your behalf. You can do this on the loan token's contract. Approve enough assets to cover 1e9 supply shares.

Use the Morpho contract's supply function to supply 1e9 shares to the market on behalf of address 0x000000000000000000000000000000000000dEaD.

Once the transaction is confirmed, the market will be secured with a dead deposit.