Morpho raises $175 million at $2 billion valuation

The DeFi lending protocol Morpho has raised $175 million in a new funding round. The deal is led by some of the biggest names in the crypto world and values the protocol at $2 billion. The round confirms that institutional interest in decentralised finance continues to grow.

Morpho is available at OKX and Bybit.

Big names behind the investment

Paradigm, a16z Crypto and Ribbit Capital are leading the funding round, as Fortune reports. Apollo Funds, Circle’s venture arm and VanEck are also participating as investors. The investment was made via Morpho’s own cryptocurrency, with investors buying in at the average monthly token price. The exact cost per investor depends on when they joined the round.

Behind Morpho is co-founder Frambot, who describes the protocol as a serious challenger to the traditional financial sector. The protocol offers blockchain-based loans and now accounts for $6.6 billion in total value locked (TVL). That is an impressive figure that shows how much capital is already within the ecosystem.

From crypto natives to institutional adoption

Morpho does not only serve retail users, but also attracts major players. Companies such as Coinbase, Kraken, Anchorage Digital and Galaxy Digital are already using the protocol. The new funding enables Morpho to take the next step toward broader institutional adoption, something the protocol is actively pursuing.

The deal fits a broader trend in which DeFi platforms are increasingly being taken seriously by large financial institutions. Earlier we wrote about how Hyperliquid accounts for nearly half of all crypto buybacks in 2025, which also shows that decentralised protocols are gaining more weight in the market. Those who want to know how to get started with such projects can find more information on our page about buying crypto.