defisaver

هناك سر مظلم في صناعة القروض في DeFi. مليارات من الأموال موجودة بالفعل في برك الإقراض، تحقق عوائد قليلة بينما يدفع المقترضون معدلات فائدة باهظة. من خلال تقديم نهج هجين لديه القدرة على تحويل سوق القروض في DeFi بالكامل، تقدم Morpho إعادة تفكير أساسية في كيفية عمل بروتوكولات الإقراض. أعتقد أن MORPHO تقدم واحدة من أكثر الفرص جاذبية في السوق في الوقت الحالي، بعد أن قضيت أسابيع في فحص البيانات وتقييم آليات البروتوكول.

@Morpho Labs 🦋 $MORPHO #Morpho

How to connect decentralized protocols with conventional financial institutions has long been one of the most challenging issues in cryptocurrency. The idealists claim that since DeFi would completely replace legacy finance, there is nothing we need to bridge. The pragmatists understand that institutional wealth worth billions of dollars will not move to decentralized protocols until certain pressing operational, technological, and regulatory issues are resolved.

One of the better examples of how that bridge is actually constructed is Morpho. Through infrastructure design that truly fulfills both decentralized goals and institutional requirements, rather than through centralization or compromise. You have resolved issues that most projects never even adequately articulated when Societe Generale decides to use your protocol as their gateway to DeFi.

Since the lessons are applicable much beyond loan standards, let me to explain those issues and how Morpho's method resolves them.

Predictability is the first institutional hurdle. Banks and other regulated financial organizations are not allowed to invest in systems whose characteristics might fluctuate. It is almost difficult to create conforming goods if interest rate models are subject to change in response to protocol choices or governance votes. You cannot provide clients with financial instruments whose conditions might alter at any time due to decentralized governance over which you have no control.

This is resolved by Morpho using immutable markets. The specifications of a Morpho Market are fixed when it is created. The oracle, the loan asset, the collateral asset, and the liquidation threshold are all immutable. No government can alter them. Upgrades to the protocol cannot change them. By connecting with a particular Morpho Market, an organization may create compliant items based on those specified specifications since they know exactly what they are obtaining.

Until you understand what it allows, its immutability seems like a constraint. Because the rails Societe Generale builds on won't move beneath them, they can access DeFi through Morpho with confidence. Knowing that the risk criteria won't fluctuate at random and affect their capacity to manage collateral, Coinbase is able to provide loans powered by Morpho Markets. Although it isn't glamorous, predictability is crucial for institutional acceptance.

Custody is the second obstacle. Regulated institutions must adhere to very stringent asset custody regulations. They are unable to carelessly transfer user cash to unaffiliated third parties or expose client assets to counterparty risks posed by centralized middlemen. Despite claims of decentralization, the majority of DeFi lending systems still need asset deposits into protocol-controlled pools with a few of powerful smart contract administrators.

Throughout, Morpho keeps its real noncustodial design. Users never relinquish control over their resources. Claim tokens that reflect their status are held by vault depositors. Depending on the liquidity, they are free to withdraw whenever they choose. No protocol administrator has the authority to stop redemptions or freeze money. At no stage of the procedure does a central party have custody. This noncustodial approach maintains the decentralization advantages that initially make DeFi desirable while meeting regulatory constraints.

This was crucial when Ledger included Morpho into their hardware wallet ecosystem. Security and self-care were central to Ledger's brand. Protocols that violate certain values cannot be integrated with them. Ledger customers were able to obtain institutional-grade yield while keeping total control over their assets and private keys because to Morpho's design. That is really hard to do, and the majority of DeFi protocols don't pass this test.

Auditability is the final institutional hurdle. Financial institutions must demonstrate to authorities that they have the necessary controls in place and be fully aware of the risks they are incurring. Audit nightmares are caused by intricate algorithmic systems with opaque decision-making procedures. You cannot incorporate the system into regulated financial products if you are unable to provide a clear explanation of how interest rates are set or how liquidations are handled.

By design, Morpho Markets are straightforward. One asset used as collateral. A single loan asset. Clear thresholds for liquidation. Oracle feeds that are transparent. The entire system is auditable and deterministic. An organization may examine the smart contract code, validate the parameters, validate the oracle sources, and comprehend the risk profile in its whole. Algorithmic black boxes and secret mechanisms are absent. You receive what you see.

Because of its simplicity, compliance is manageable. The risk teams at Societe Generale were able to finish their due diligence when they assessed Morpho. The behavior of the protocol is predictable. The edge situations can be handled. The audit trail is unambiguous. Though extremely challenging to do in reality, they are table stakes for institutional adoption. The majority of DeFi protocols prioritize functionality and intricacy above auditability and ease of use.

Composability without fragmentation is the fourth obstacle. Without becoming enmeshed in tiny, isolated liquidity pools that are unable to meet their scale needs, institutions want to take use of decentralized infrastructure. The system cannot sustain institutional volume if each loan market operates as a distinct silo with its own liquidity. However, you lose the risk isolation and parameter customisation that institutions want if everything is one big pool.

This problem is easily resolved by Morpho's two-layer design. Markets offer defined parameters and separated risk. Vaults retain transparent allocation procedures while aggregating liquidity from several marketplaces. Underlying common liquidity infrastructure allows institutions to interface with specialized markets for specific use cases. Certain Morpho Markets tailored for that use case are used by Coinbase bitcoin loans. Curator optimization is advantageous for vault depositors who access numerous markets at the same time throughout the whole opportunity set.

Because of its architecture, the protocol may be used by both institutions that want exact control over risk parameters and retail customers that seek a straightforward passive yield. Because the primitives are adaptable enough to combine in various ways for various purposes, the same infrastructure may be used for both. That is not only conformance with trendy terms; it is true composability.

Switching expenses are the fifth obstacle, which is rarely mentioned but is crucial. Institutions won't commit significant infrastructure resources to protocols that might abruptly change or perish. Projects that began with much excitement and subsequently dwindled as teams moved on to other chances abound in the DeFi area. It is not a good idea to build institutional goods on deteriorating infrastructure.

Strong lock-in effects are produced by Morpho's institutional integration momentum. Coinbase has invested much in both technology and operations after they establish its loan products on Morpho infrastructure. Certain smart contracts are integrated with their systems. They make assumptions about their risk models. The way the items operate is explained in their consumer communications. All of that would have to be rebuilt from the ground up if the infrastructure were to change.

These switching costs are reciprocal. In addition to locking Morpho into meeting institutional demands, they also tie institutions onto Morpho. The protocol cannot make changes that interfere with significant integrations or carelessly damage compatibility. Mutual dependencies are established by the relationships, which improve stability for all parties. Infrastructure for institutions is dependable. The acceptance and volume of the protocol are sustained. Instead than focusing on short-term optimization, incentives are aligned to favor long-term thinking.

This tendency is reinforced by token economics. Governance rights regarding protocol development and parameter choices are granted via MORPHO tokens. Because decisions have a greater influence on economic activity, governance gains value as institutional volume increases. Holders of tokens are motivated to make decisions that increase network adoption and maintain institutional confidence. The orientation of the protocol is influenced by the institutions involved in governance. Instead of encouraging haphazard exploration, the feedback loop encourages gradual progress.

The trend of institutional acceptance may be seen by looking at the figures. Morpho-powered Coinbase loans totaled more over $1 billion. Through Coinbase's user interface and the underlying Morpho infrastructure, that reflects actual borrowers taking out actual loans secured by actual collateral. Crypto.com exposed their user base to the lending markets of the protocol by integrating Morpho for earn and borrow goods on Cronos. Bitpanda and Gemini added integrations. The number of significant platforms that use Morpho is constantly growing.

Every integration facilitates the subsequent integration and supports the institutional value proposition. compounding network effects. The level of liquidity increases. To oversee vaults, more curators join the ecosystem. Tools and interfaces are created by more developers. It is challenging for rivals to match the flywheel's acceleration.

When institutions express interest, traditional lending procedures are faced with a conundrum. Either centralize enough to appease institutions while losing the decentralization advantages that initially drew interest in DeFi, or preserve decentralization while failing institutional requirements for predictability and compliance. By being truly decentralized in ways that meet institutional constraints rather than contradicting them, Morpho's design avoids this issue.

Predictability comes from immutability. Custody requirements are satisfied by noncustodial design. Auditability is made possible by simplicity. Different use cases are served by composible primitives without fragmentation. Additionally, switching costs brought forth by institutional integrations promote stability over the long run. There is no need for compromise between these conflicting interests. These design decisions are complimentary and support one another.

Retail speculation and yield farming games did not create the twelve billion dollars in total deposits that flow via Morpho infrastructure. This capital was provided by users and institutions who needed a dependable lending infrastructure. Product-market fit, not marketing tricks, was the source of the rise. Long-term sustainability greatly depends on that differentiation.

DeFi's revolutionary potential may be compromised by institutional adoption, according to critics. If we are merely reconstructing traditional finance with blockchain elements, what is the point? Although I disagree with the concept, I can appreciate this point of view. DeFi is not about revolution in and of itself. It is creating better financial infrastructure that more effectively meets the demands of users while reducing exploitative intermediation and improving transparency.

Morpho accomplishes such objectives while maintaining its true decentralized nature. Users keep possession of their assets. Smart contracts enforce rules without human middlemen. Token holders share in the governance. The system can be audited and is transparent. These are the fundamental DeFi tenets that are truly significant. It is a triumph, not a compromise, for institutions to decide to use this infrastructure instead of proprietary alternatives.

The regulatory environment is still changing, and it will ultimately become clear how decentralized protocols function with the current financial systems. Morpho is well-positioned for that ultimate clarity because to its design. The noncustodial design avoids custody restrictions. The clear audit trail meets compliance standards. Legal clarity about terms and conditions is provided by the immutable markets. Morpho has already put in place a lot of the elements that regulators will probably need when they decide how DeFi lending should operate.

The institutional adoption thesis is simple for token holders. Infrastructure governance that handles institutional volume gains value. The network effects get stronger as more institutions join together. Depositors receive superior risk-adjusted returns as more curators maximize vault performance, which draws in more money. Everyone involved in the ecosystem benefits from the flywheel chemicals.

Through listing and HODLer airdrops, Binance supports MORPHO, allowing users to take part in its growth trajectory. The basic motivation is the same whether you own tokens for prospective value growth or to participate in governance. Through decentralized infrastructure, actual economic activity is generated by the adoption of genuine institutions. In the crypto world, that is uncommon enough to merit notice.

It will not be possible to bridge the gap between DeFi and traditional finance via conflict or compromise. Better technology that really meets the demands of both ecosystems will be used to build it. Morpho shows what that actually looks like. Not perfect. Not yet completed. However, it's sufficiently operational that big organizations entrust it with billions of dollars' worth of actual capital. More important than any amount of revolutionary rhetoric is that.

The crypto innovations that operate in the background while everyone else debates philosophy can occasionally be the most significant. Among the advances is Morpho. Additionally, we are still early enough in the adoption curve that those who are paying attention to content rather than hype will have real opportunities once they comprehend what is going on.