Morpho, a cryptocurrency loan protocol without permission, presented an update that seeks to further align decentralized finances (DEFI) with traditional loans by bringing more on the path of the terms of predictable loans.
Morpho V2 offers fixed -term loans promoted by the market with customizable terms, previously invisible features in Defi, which are required to meet the demands of institutions and companies that seek to build or migrate financial products in the chain, Morpho said in a press release on Thursday.
Defi, a loan and loan loans and loan loans in the chain assets, will run this year, as it did in 2021, particularly due to the participation of institutional finances and active actives of the real world (RWA).
But Defi infrastructure needs to overcome certain limits in the chain, such as over-collateralization dependence and fixed formulas to calculate rates to climb to the institutional degree potential.
“With Morpho V2, we wanted to go beyond the rigid structures based on swimming pools that dominate Defi today where users have little control over rates or terms,” said the CEO of Morpho Labs, Paul Frambot, in an email. “V2 presents a model based on the intention where lenders and borrowers express exactly what they want, as a fixed rate, fixed term loans, specific collateral preferences, etc., and the system finds the best coincidence.”
While the previous version of Morpho Limited loans to individual collateral types, V2 admits individual assets, multiple assets or complete wallets such as guarantees, including RWAS and niche assets, according to a press release.
“This level of precision and flexibility is what is needed to serve both sophisticated users and institutions seeking predictable and customizable loans in the chain,” said Frambot. “V2 unlocks the potential of loans in the chain through the introduction of an open market where users are those who decide if a loan should be issued, not the protocol.”
The update also goes further with compliance, which includes better knowledge (KYC) and the white list, but without altering the open source attributes, permits and non -custody of the platform, according to the statement.
Morpho V2 will be implemented in the coming weeks, said a firm representative in an email.
