💰 Overall Score: 79/100

Brief Description: Morpho demonstrates strong capabilities in product innovation, track selection, and capital support. Its unique lending pool optimizer positioning and top-tier institutional endorsements constitute its core advantages. However, its token distribution is highly concentrated, and it faces fierce market competition. This score focuses on its long-term ecological development potential and technological innovation.

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🔑 Key Factors

  • Founding Team: The project has a solid core team.

    • Paul Frambot serves as Co-Founder and CEO.

    • Mathis Gontier Delaunay is Co-Founder and Head of Research.

    • Merlin Egalite and Julien Thomas are also co-founders of the project.

  • Investments Received: The project has received support from multiple investors. According to public information, its investors include TLC, Dydymoon, and individual investors Thomas Turelier, Tom Reppelin, Yassine Hargane, among others.

📈 Fundamentals

  • Project Overview: Morpho's core positioning is as a decentralized lending pool optimizer. It does not directly compete with lending protocols like Aave and Compound; rather, it builds a peer-to-peer optimization layer on top of them.

    • Core Role and Innovation: You can understand it as a 'tool for enhancing the efficiency of lending protocols'. It dynamically matches borrowers and lenders through algorithms while maintaining the same liquidity, user experience, and risk parameters as the underlying protocols (like Aave, Compound). It provides higher deposit returns for fund providers and lower borrowing rates for borrowers. Its core innovation lies in significantly enhancing capital efficiency.

    • Key Data: The protocol has processed over $100 million in forced liquidations without generating significant bad debts, demonstrating its excellent risk management capabilities. Additionally, the Ethereum Foundation has also deposited millions of dollars into Morpho's revenue vault, indirectly confirming the reliability and attractiveness of its protocol.

  • Community Building: The project has established an important ecological position and user base in the DeFi field.

    • According to data from May 2025, its total locked value (TVL) once soared to $3.2 billion, representing a 400% increase compared to the previous year.

    • Its lending network is extensive, with deposit assets exceeding $600 million.

  • Competitors: Morpho is situated in the highly competitive 'DeFi Lending' space.

    • Direct Competitors: Mainly traditional lending giants such as Aave and Compound.

    • Competitive Advantage: Its advantages lie in its unique optimizer positioning (complementing rather than directly replacing competitors), a proven large TVL, funding efficiency, and an excellent risk management record.

    • Market Capitalization Reference: According to multiple information sources, Morpho's circulating market capitalization is approximately between $1 billion and $18.7 billion (the differences across data sources and statistical time points are significant). Its total supply is fixed at 1 billion MORPHO.

  • Holder Count: According to on-chain data analysis, the distribution of MORPHO tokens is highly concentrated, which is a significant risk point.

    • Data shows that the largest single address holds 63.16% of the total supply.

    • The top five addresses combined control over 75% of the token supply.

    • This structure may lead to price manipulation and trigger severe volatility, thus challenging the project's degree of decentralization and stability.

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@Morpho Labs 🦋 s $MORPHO O #Morpho