Morpho architecture
Variable-rate lending
open termDepositorsdeposit one loan asset, get vault shares
Vaultthe curator sets markets and caps, the allocator moves capital, the sentinel can cut risk
Morpho Blue marketsone loan asset, one collateral, an oracle, a rate model, an LLTVBorrowerspost collateral, borrow the loan asset
CapitalInterest
Two kinds of vault
Vaults V1Allocate only to Morpho Blue markets.
Vaults V2Allocate through adapters, add timelocks and optional gates, and let depositors exit into the underlying positions.
Fixed-rate loans (Midnight)
fixed rate and termLender's signed offerthe funds keep earning in Morpho Blue
Callbackwithdraws the liquidity when the offer is taken
Fixed-term loanrate and repayment date set at the start
Morpho docsSumcap Research