Recently, I've often seen people asking: "I still have $MORPHO in my wallet, should I convert it to wMORPHO? How do I convert it? Will I miss out on governance or incentives if I don't convert?"

To be honest, this kind of "token wrapping" mechanism is indeed a bit confusing for many users. But if you seriously understand the structure and roadmap of Morpho, you will find that wMORPHO is a sign of the Morpho ecosystem moving towards mature governance.

In this article, I will try to clarify a few core issues for you in the simplest way: What is wMORPHO, why should we migrate, should you convert, and how to convert.

01 | What exactly is wMORPHO?

Let’s start with the name. The 'w' in wMORPHO stands for wrapped, meaning that each wMORPHO represents that you have locked one MORPHO and obtained its governance rights and other ecosystem participation rights.

In other words, having MORPHO in your hands is just 'tokens', but only wMORPHO can truly participate in the governance of Morpho DAO, such as voting, proposing, supporting representatives, and potentially nominating strategies in the future.

Its logic is somewhat like ETH and stETH; when you lock MORPHO into the governance contract, you will receive an equal amount of wMORPHO. wMORPHO will not be generated out of thin air and will not dilute others, 100% 1:1 binding.

02 | Why migrate?

Morpho has always emphasized a 'decentralized + community-driven' protocol, so its governance cannot rely on a few whales making decisions, but hopes to form a 'liquid yet representative governance mechanism'.

While the original MORPHO tokens have voting functions, they lack a more flexible and modular governance design. Therefore, the team has taken these steps:

  • Launch wMORPHO, transitioning governance from 'tokens' to 'active participants';

  • Introduce a governance representative mechanism, allowing wMORPHO holders to delegate to representatives who will vote (can be revoked at any time);

  • Achieve traceable on-chain governance records, enhancing transparency and accountability;

  • Prepare for future incentive distribution, strategy governance, and asset guidance.

So wMORPHO is not just a 'wrapped token'; it is the governance engine of Morpho DAO.

Not migrating will not lose the value of your original tokens, but you will lose all qualifications for future voting, governance participation, representative support, and potential incentives.

03 | Is migration mandatory? Do you have to exchange?

It is not mandatory, but it is strongly recommended that you migrate.

If you are a long-term supporter of Morpho and wish to participate in DAO decision-making, future governance, and strategy building, you must hold wMORPHO to qualify for these 'important discussion arenas'.

It's like buying stocks; if you don't register and activate voting rights, you only enjoy price fluctuations, but have no relation to the company's future development.

Migrating to wMORPHO is your 'registration process'.

04 | How to migrate? Is it complicated?

It's simple. Go to the Morpho official website or their official governance page:

👉 Connect your wallet after entering the interface;
👉 Enter the amount of MORPHO you wish to convert;
👉 Sign the transaction (only once);
👉 Done!

You will see the corresponding wMORPHO balance in your wallet, and after that, you can participate in voting, delegate representatives, governance proposals, and all ecosystem activities.

05 | Can you exchange back after migration?

Of course. wMORPHO is essentially a wrapped version of MORPHO, and you can redeem it for the original token at any time, with no lock-up period and no waiting time.

This gives you flexibility: you can govern while holding, exit during governance, and re-participate after exiting. All these rights are in your hands.

In summary: holding MORPHO indicates your confidence in it; migrating to wMORPHO is your participation in it.

Governance should never solely be 'the job of the development team', but rather a process involving community builders, strategy managers, and long-term users.

And wMORPHO is the key to opening this door. @Morpho Labs 🦋 $MORPHO #Morpho