03 Oct 2025

Morpho Effect: September 2025

GMorpho,

If stablecoins are money 2.0, vaults will be money management 2.0

TLDR

🔹 The new standard for asset curation: Vaults V2 is live

🔹 A world first: globally systemically important bank Société Générale enters DeFi with Morpho

🔹 Coinbase DeFi lending is now live, creating a flywheel with Coinbase Crypto-backed loans

🔹 The DeFi Mullet is up only: Coinbase has originated $1B loans in 6 months

Insight of the Month

2025 crowned stablecoins as crypto’s PMF moment: embraced by institutions as the safe on-ramp into digital assets. But holding value is only half the story: the next step is putting that value to work.

This is where vaults come in. Just as stablecoins made every dollar digital, vaults will make every asset productive.

Vaults are the “funds of tomorrow”: noncustodial, programmable, transparent, and open-source systems for curating capital—bringing institutional-grade risk management, global scalability, and democratized access to strategies once reserved for Wall Street.

Over time, we believe every asset will live in a vault.

This conviction led to the development of Vaults V2, our most ambitious protocol yet. Vaults 1 pioneered asset curation with $11B+ in deposits and 30+ curators generating $25M+ ARR.

With Vaults V2, Morpho has taken the next step in building world-class infrastructure and network effects, enabling fintechs, exchanges, institutions, and asset managers to bring their trillions of portfolios onchain.

The vaults arc starts today, and it’s powered by Morpho.