Morpho raises $175M in round co-led by Paradigm, a16z crypto and Ribbit Capital to build ‘open credit network’

Morpho, the onchain lending protocol, has raised $175 million in a funding round co-led by Paradigm, a16z crypto, and Ribbit Capital to build what the company calls the "open credit network for the world," the Morpho Association announced Tuesday. The round valued the protocol at up to $2 billion, Fortune first reported, and drew additional participation from Apollo Funds, Circle Ventures, VanEck, Ledger Cathay, Variant, Wintermute Ventures, Prelude, IOSG, Hashkey, Mirana, NJJ Capital, SBI Group, and Bpifrance, among others. It marks Morpho's fourth institutional fundraise since 2021 and one of the largest rounds in DeFi history, the company said. The investment was structured as a token purchase, with investors buying (MORPHO) at its average monthly price, meaning the exact cost varied by when participants contributed, Fortune said. MORPHO prices surged over 10% following the news, per The Block's price page. Morpho offers blockchain-based lending and borrowing markets where users can create their own lending pools with customized risk parameters. For banks, asset managers, fintechs, exchanges, and wallets, it provides a platform to dictate market terms rather than relying on a single protocol's rules. "We're building the open credit network for the world, connecting those with excess capital to those who need financing, globally," co-founder Paul Frambot said. The company said it will use the proceeds to deepen technical and commercial integrations with strategic partners and expand its credit infrastructure. The protocol claims it has crossed $11 billion in deposits and already counts some of the largest names in crypto among its institutional users, including Coinbase, Binance, Kraken, Bitwise, Galaxy, and Anchorage Digital. "In the years to come, every bank, asset manager, and pension fund will want exposure to onchain credit markets," Frankie, general partner at Paradigm, said. Guy Wuollet, general partner at a16z crypto, added that Morpho's technology is already being used by some of the world's leading financial institutions. "The simplicity and security of its technology continue to push borrowing and lending forward," Wuollet said. The raise is Ribbit's second significant bet on Morpho, as the firm also led the protocol's prior $50 million strategic round in 2024. Expand ChartDisclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures. © 2026 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.