Oku, a decentralized finance (DeFi) aggregator that does not hold user assets, has now incorporated
Morpho
Protocol on Etherlink—a Layer 2 blockchain leveraging
Tezos
technology—to bring advanced lending and borrowing options to the Tezos network, as reported by
Finbold report
. This integration represents a major step forward for Etherlink’s DeFi capabilities, merging Morpho’s peer-to-peer lending system with Oku’s intuitive platform to attract both individual and institutional users, according to
a FinanceFeeds article
. With this update, users are able to oversee their collateral, utilize real-time analytics, and benefit from algorithm-driven interest rates—all while retaining full control of their assets, Finbold notes.
FinanceFeeds highlights that the integration takes advantage of Etherlink’s fast and affordable transactions, which are essential for scalable DeFi solutions. By accessing
Uniswap
v3’s deep liquidity pools—among the largest in the sector—Oku boosts capital efficiency for both traders and lenders, positioning Tezos as a strong contender for institutions looking for high-performance DeFi options, according to Finbold. Dan Zajac, Oku’s Business Development Lead, stressed the platform’s ease of use: "Users now have the ability to manage their assets or borrow at competitive rates, all within a single platform. It’s straightforward, efficient, and open to everyone."
An important achievement in this launch is the introduction of the first curated vault by MEV Capital, a leading DeFi curator. This vault lets users lend
USDC
against three yield-generating tokens from Midas—mMEV, mBASIS, and mTBILL—providing a diversified approach with risk controls suitable for institutions, as detailed by Finbold. Laurent Bourquin, CEO of MEV Capital, pointed out the strategic value: "Etherlink’s performance enables us to bring the institutional lending infrastructure we’ve developed on other networks to Tezos. This partnership delivers institution-grade vault management for those interested in DeFi lending on Tezos Layer 2." The vault is designed to prioritize self-custody, adapt to market changes in real time, and optimize capital use, meeting the increasing demand for transparent and risk-managed on-chain lending, FinanceFeeds reports.
Anthony Hayot, who leads DeFi Adoption at Nomadic Labs, called the integration a "significant milestone" for Tezos’s DeFi sector. He explained that combining Etherlink’s foundation with Morpho’s lending model sets the stage for Real-World Asset integration, enabling "efficient, transparent, and user-focused markets," as Finbold documents. Etherlink users now benefit from lending backed by multiple assets, flexible interest rate structures, and up-to-the-minute data, all supported by the network’s high capacity and low transaction costs, according to FinanceFeeds.
This collaboration highlights Tezos’s growing influence in the DeFi space. Etherlink’s compatibility with the Ethereum Virtual Machine (EVM) allows for easy migration of Ethereum-based applications, while Tezos Smart Rollups technology ensures both scalability and security, Finbold observes. For institutional players, the platform combines robust performance features with compliance-ready infrastructure, filling a market need for decentralized alternatives to traditional lending systems, as noted by FinanceFeeds.
To start using Oku’s integration with Etherlink, users can visit
oku.trade
and connect their digital wallets. This move is part of a larger trend in DeFi, where institutional involvement is increasingly attracted to platforms that balance innovation with prudent risk management. As Tezos’s DeFi ecosystem continues to evolve, the collaboration between Etherlink, Oku, and Morpho may drive further adoption, especially as projects like Mutuum Finance and DeLeion Capital also work to address market volatility and institutional requirements, according to
a Morningstar article
.