Morpho CEO: Communicated with multiple institutions; institutional interest in DeFi will not fade

Odaily reported that Morpho CEO Paul Frambot posted on X, stating that over the past week, he communicated with several large institutions to understand their views on the current DeFi landscape. The main conclusions are as follows.

First, institutional interest will not disappear. The reason is simple: distribution channels will not vanish — a massive amount of assets under management (AUM), payments, and lending businesses are moving on-chain. Nearly all fintech companies hope to achieve full on-chain integration. For institutions, it is not a question of “whether or not” but one of “must do.”

Second, they have already lost trust in the pool/hub model; institutions and distributors want to control everything, including code, risk, and compliance. At the same time, they also expect flexibility, namely the ability to isolate their own business and to connect with a globally compatible liquidity network.