Morpho Overview
Introduction
Morpho is a decentralized lending protocol with different entities and individuals contributing to its development and adoption. As a result, the documentation refers to different areas of “Morpho” which are worth distinguishing.
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The Morpho Protocol:
A decentralized, noncustodial lending protocol implemented for the Ethereum Virtual Machine. -
The Morpho Interfaces:
Multiple web interfaces allowing easy interaction with the Morpho protocol. Those interfaces are ways to interact with the Morpho protocol. -
Morpho Governance:
A governance system for governing the Morpho Protocol, enabled by the MORPHO token. -
Morpho Labs:
The company that developed the Morpho Protocol, Interface, and many developer tools. -
Morpho Association:
A France-registered association that regroups the main contributors like Morpho Labs to promote the development and the decentralization of the Morpho Protocol. The Morpho Association hosts one of the Morpho Interfaces.
Morpho
Morpho is a simple lending primitive layer that allows the creation of immutable and efficient lending markets in a permissionless way.
The protocol comes with EVM smart contracts which facilitate interactions and integrations.

Overview
Morpho is a decentralized protocol enabling the overcollateralized lending and borrowing of crypto assets (ERC20 & ERC4626 Tokens) on the Ethereum Virtual Machine. The protocol is implemented as an immutable smart contract, engineered to serve as a trustless base layer for lenders, borrowers, and applications.
Morpho is licensed under a dual license (BUSL-1.1 and GPLv2) which you can find here. Once deployed, Morpho will function in perpetuity, provided by the existence of the blockchain.
Key Concepts
Overcollateralized lending in Morpho involves:
- Collateralization: Users provide collateral to borrow other assets
- Risk Management: Liquidation mechanisms protect the protocol through loan-to-value ratios
- Interest Accrual: Dynamic interest rates based on market conditions
- Open Participation: Anyone can lend or borrow through the protocol
- Non-custodial Design: Users maintain ownership of their assets at all times