Morpho Launches Midnight Fixed-Rate Lending Protocol on Ethereum
Morpho expanded its fixed-rate Midnight lending protocol from Base to Ethereum, offering USDC loans backed by WBTC or cbBTC.
Why it matters
The expansion gives Ethereum users fixed-rate borrowing options that were previously only available on Base, but the protocol's growth potential is limited until the DAO permits Morpho Vaults to allocate to Midnight markets. Significance is limited given the single-source coverage and early deployment stage.
Key facts
Morpho launched its Midnight fixed-term, fixed-rate lending protocol on Ethereum on September 8.
Reported by The Defiant
Midnight was previously deployed only on Base before the Ethereum expansion.
Reported by The Defiant
Ethereum users can access USDC loans backed by WBTC or cbBTC through Midnight.
Reported by The Defiant
Morpho Vaults hold approximately $5 billion in deposits but can only allocate to Morpho Blue markets until the DAO enables Midnight allocations.
5,000,000,000 USDReported by The Defiant
Morpho's Ethereum-filtered Markets page displayed $7.41 million in total deposits around publication.
7,410,000 USDReported by The Defiant
Outstanding loans on the Ethereum-filtered Markets page totaled $2.63 million around publication.
2,630,000 USDReported by The Defiant
Midnight uses fixed maturities where lenders buy credit units below their one-to-one redemption value at maturity, unlike Morpho Blue's variable rates.
Reported by The Defiant
Two lenders in the same Midnight market can receive different rates because each rate is determined by the price at which the lender trades.
Reported by The Defiant
What happened
Morpho launched its Midnight fixed-term, fixed-rate lending protocol on Ethereum on September 8, extending the product beyond its prior deployment on Base. The Defiant reported that Ethereum users can now access USDC loans backed by WBTC or cbBTC through the protocol. However, the largest potential source of capital remains constrained: Morpho Vaults, which hold approximately $5 billion in deposits, can currently only allocate to Morpho Blue markets until the DAO enables Midnight allocations. At the time of publication, Morpho's Ethereum-filtered Markets page displayed $7.41 million in total deposits and $2.63 million in outstanding loans, though the individual breakdown between WBTC and cbBTC markets was not available. The protocol differs from Morpho Blue by offering rate certainty through fixed maturities rather than open-ended loans with variable rates.
How the story developed
- First report
First report by The Defiant
Morpho Expands Fixed-Rate Midnight Markets to Ethereum
- Update
Morpho launches Midnight fixed-rate lending on Ethereum
The protocol expanded from Base to Ethereum, offering USDC loans backed by WBTC or cbBTC with fixed maturities.
Affected entities
Original sources
| Publisher | Report | Role | Published |
|---|---|---|---|
| The Defiant Crypto media | Morpho Expands Fixed-Rate Midnight Markets to Ethereum | Original |
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