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Morpho V2

Definition

Morpho V2 represents a significant iteration or upgrade of the Morpho protocol, a decentralized lending platform designed to optimize interest rates by directly matching lenders and borrowers. This version typically introduces enhancements to efficiency, capital utilization, and user experience compared to its predecessor. The protocol operates on existing lending pools, such as Aave or Compound, by layering a peer-to-peer matching engine on top to provide improved rates. Morpho V2 aims to reduce friction and maximize returns for participants in decentralized finance.