Morpho Surpasses $5B in Deposits, Dominates Coinbase's Base Network

Morpho, a decentralized credit protocol, has reached an inflection point on Coinbase's Base network. With over $5 billion in deposits, Morpho now represents more than 70% of total active deposits on Base.

This milestone marks a significant growth for the protocol since its deployment on Base in May 2024, when total deposits were just $1.8 billion. In contrast, today's figure stands at $6.8 billion.

The quantitative leap came in January 2025, when Coinbase launched its crypto-backed loans on Morpho's infrastructure, known as the 'DeFi Mullet'. This model combines fintech distribution with open infrastructure and has accumulated over $1.3 billion in active debt in USDC, backed by $2.5 billion in cbBTC deposited in Morpho.

The ecosystem benefits both issuers and users. Asset issuers such as Circle and Ethena lead the stablecoin deposits on Base, while real-world asset issuers like Centrifuge, Midas, Spiko, and Birch Hill replicate the same structure.