Morpho, a blockchain-based lending protocol, has raised US$175 million to develop its institutional lending infrastructure.

Paradigm, a16z crypto, and Ribbit Capital co-led the round, with Apollo Funds, Circle Ventures, VanEck, and Ledger Cathay also participating, according to a company blog post.

Morpho operates a non-custodial onchain lending protocol that allows users to create markets for specific collateral and loan assets.

Its vaults route lender funds across those markets based on risk settings, including permissioned structures that use know-your-customer-wrapped collateral tokens.

The company said it has more than US$11 billion in deposits. Institutional clients include Bitwise, Galaxy, and Anchorage Digital, as well as crypto exchanges Coinbase, Kraken, and Binance. DefiLlama shows US$3.42 billion in active loans.

The round follows Morpho’s US$50 million raise in August 2024 and comes as tokenized credit expands. RWA.xyz tracked US$5.12 billion in distributed value on June 9.

🔗 Source: CoinDesk

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