Morpho Raises $175 Million in One of Crypto’s Largest Funding Rounds

Morpho, a crypto lending protocol, has raised $175 million in a funding round, marking one of the largest financings in the sector.

On June 13, Morpho said on its website that the round was co-led by Paradigm, a16z crypto and Ribbit Capital. Apollo Funds, Circle Ventures, VanEck and Ledger Cathay also participated as strategic investors.

The company plans to use the capital to broaden technical and business integrations with strategic partners and to develop credit infrastructure for institutional clients.

“We are building an open credit network that connects capital providers and capital seekers around the world,” Morpho co-founder Paul Frambot said. He called the fundraising an important milestone in moving financial infrastructure on-chain.

Some market participants view the deal as a sign that the on-chain credit market is attracting venture capital attention. “As stablecoins scale, credit becomes one of the most important pieces of financial infrastructure,” Spark Chief Executive Officer Sam MacPherson said.