Morpho’s Real-World Asset Deposits Top $2 Billion, Up 100% Since June
Key Facts
Morpho said deposits in its real-world asset markets topped $2 billion in October 2026, doubling since June in a sign of the activity’s expansion within the lending protocol. The announcement came in an update published by the company on November 5, which also reported growth in active loans over the previous three months. It said active loans rose 40% during that period and that one in every five dollars borrowed on-chain flows through Morpho. The figures point to simultaneous expansion in real-world asset markets and borrowing activity on the protocol, with each figure tied to a different metric and period. Network data for November 6 showed total deposits of $16.65 billion, while outstanding loans reached $5.85 billion.
Real-world asset deposits topping $2 billion put them at more than twice their June level, according to Morpho, which said they had grown 100% through October. The figure covers total deposits in the protocol’s real-world asset markets and does not refer to USDC deposits alone. In a September 16 post, Morpho said about $2.8 billion in USDC had been deposited on the platform as of July, citing Token Terminal. That figure covers the USDC balance in July, while the October figure covers real-world asset markets, so the two figures measure different categories. The network dashboard also showed total protocol deposits of $14 billion in August, setting a new record at the time.
On borrowing, Morpho said active loans on the protocol grew 40% in the three months before its November 5 update. It added that one in every five dollars borrowed on-chain flows through the platform, indicating the protocol’s share of on-chain borrowing activity, according to the company. This measure differs from total deposits: it describes loans that remain active and the share of borrowing, rather than funds deposited in the markets. Data for November 6 showed $5.85 billion in outstanding loans against $16.65 billion in total deposits. Morpho did not attribute the growth in active loans in its update to a specific cause, so it cannot automatically be linked to the expansion of real-world asset markets or to any particular company’s products.
Morpho’s expansion has included credit-distribution products through other entities, though the nature of each relationship differs. The company said Coinbase built crypto-backed loans and USDC lending on the Base network using Morpho, and that these active USDC-backed loans topped $1.4 billion as of September 16, 2026. It also said more than $500 million in USDC had been deposited in Coinbase Lend, a lending product on Base that uses the protocol. These figures relate to Coinbase’s activity and product on the stated date; they do not represent Morpho’s total deposits or show what caused its growth. For Ledger Wallet, Morpho said bitcoin-backed loans had become available directly to users, without specifying a value for those loans.
In its real-world asset markets, Morpho said deposits in Morpho Midnight topped $100 million and then $200 million during the final week of October. This is another example of deposits expanding within a specific product, while remaining separate from the more than $2 billion in total deposits in real-world asset markets and the protocol’s total deposits. The company said the Midnight adapter would enable more than $5 billion in liquidity held in Morpho vaults to be allocated to Morpho Midnight during the fourth quarter of 2026. This is a stated path for making additional liquidity available to the product in the specified period, not a figure for deposits already allocated. Morpho also said additional integrations for deposits on Arc with wallets and trading platforms were in the works and would be announced in the coming weeks.