Morpho scores 1 point above Euler V2, led by rate authorship. Morpho ranks #3 and Euler V2 #4 of 8 published lending & borrowing. Every term of the gap is on the ledger below; the inputs are on the audit receipt.
Morpho78
vs
Euler V277
Scores are out of 100; published scores fall within 41–99 · ranks #3 and #4 of 8
Morpho scores 1 point above Euler V2, led by rate authorship.
Morpho #3 of 878
Euler V2 #4 of 877
Scores are out of 100; published scores fall within 41–99; a bar is empty at 41 and full at 99.
Why, term by termMorpho leads on 1 of 4 published criteria; Euler V2 on 1. The terms sum to the gap.
TermMorphoEuler V2WeightPoints
Rate authorship9/108/105.8+1.5for Morpho+0.8 of 32
Shortfall record7/108/104.8−1.2for Euler V2−0.6 of 32
Net of the terms+0.2
Reproduced gap+0.3
Published gapAfter score rounding and bounds — see the note below7877+1.0
Weight is in points of the 86-point weighted total. Points are score points of the gap between the two.
MorphoScore 78A permissionless isolated-market primitive deployed on 14 chains where the oracle, the interest-rate model and the liquidation LLTV are chosen once at market creation and can never be changed — so Morpho publishes no deviation threshold and no heartbeat anywhere, but does publish, per market and continuously, the exact oracle contract that liquidates you, a documented degraded-state regime for when that oracle reverts, and the exact dollar figure of bad debt sitting in each market.Strength: Rate authorship — 9/10Watch-out: Before you supply, run Morpho's own bad-debt query with the listed filter OFF — and note that the filter, not the risk, is what changes. Morpho publishes a per-market outstanding bad-debt figure through https://api.morpho.org/graphql, which is more than most of this category does, but the curated view lies by omission: across the 590 markets Morpho marks listed, outstanding bad debt on 2026-08-17 was $0.00 against $4.42bn of borrows; drop that one flag and the same API at the same moment reports 27 markets carrying $255,015,878.47, every single one of them listed=false — $88.2M in wstUSR/USDC on Ethereum, $86.9M in xUSD/USDC on Arbitrum One, $28.8M in RLP/USDC and $23.0M in sdeUSD/USDC on World Chain, a chain on which Morpho has no listed markets at all. Morpho has published no post-mortem for any of it; its own newsletter for the month those losses formed (https://morpho.org/blog/morpho-effect-november-2025, 01 Dec 2025) does not contain the words 'bad debt', 'loss', 'deficit' or 'incident' once (fourteen such terms were checked, each zero times) and instead reports that "Curators are generating $300,000 in fees per week". The mechanism that produced those numbers is the one you are buying: Morpho does not choose oracles — "Market curators (not Morpho) are responsible for selecting and implementing appropriate oracles for their markets." — and it explicitly supports "Fixed-Price Oracles" that report a constant, so a collateral token can be marked at $1 in the contract while trading at five cents. Morpho documents exactly what happens if that feed REVERTS (borrow and liquidate stop, lenders and repaying borrowers can still exit) at https://docs.morpho.org/curate/concepts/security-considerations, but nothing at all catches a feed that keeps answering with the wrong number, and the kill switch that would is something the same page tells the CURATOR to build. Two smaller things to check before signing: if your vault was minted by the MetaMorpho Factory V1.1 it "do[es] not realize bad debt", so its share price will look clean while a loss sits inside it and the first person out is paid at your expense; and on three of the four largest Ethereum Vault V2s — which share one curator address and one owner address and held ~$1.05bn between them on 2026-09-28 — setPerformanceFee and setManagementFee carry a 0-second timelock, so the 50%-of-yield and 5%-of-assets caps can be reached with no notice at all, whatever the docs say about "a window to exit".Euler V2Score 77Modular onchain lending where every market is its own vault: a third party picks your collateral, LTVs, oracle route and interest-rate model, and Euler publishes the resulting parameters — including a continuously recalculated, per-vault bad-debt figure — through its own data API rather than on the security page a buyer would actually read.Strength: Blast radius — 9/10Watch-out: Read the vault page before the protocol page. On Euler the protocol does not set your terms — one vault does, and Euler says so: 'Pause, guardian, curator, allocator, fee-recipient, cap, oracle, and other powers may belong to different addresses' (https://docs.euler.finance/learn/risk-curators). Before depositing, pull the specific vault's bad-debt row from Euler's own API — the borrowVault filter is a documented parameter and works: https://v3.euler.finance/v3/evk/vaults/bad-debt?chainId=1&borrowVault=YOUR_VAULT — because the security page will not tell you. On 2026-08-17 that endpoint carried $166,460,285.30 of standing bad debt across eleven chains, $134,245,336.28 of it priced within the minute. The single largest row, on one Plasma vault (0x57c582346B7d49A46Af3745A8278917D1c1311b8, 19 accounts), was $86,609,850.77 then ($90.76M debt against $4.15M collateral) and ~$90,813,221.34 on 2026-09-28, with collateral now $0 — the Plasma wipeout Euler describes in prose without ever attaching a number to it. On mainnet eUSDC-64, then the fifth-largest market by borrows, carried $13,604,080.55 of bad debt against $14,383,648.32 of borrows, and on 2026-09-28 it was still mainnet's largest bad-debt row at ~$13,609,495.61; socializeDebt is true on it, so that write-down falls on that vault's depositors alone, and there is nothing left to exit with — the vault reports utilization 1.0 and totalCash of 1 base unit (0.000001 USDC) against $14.38M supplied, with withdraw and redeem both flagged as hooked operations. Nothing on https://docs.euler.finance/security mentions any of it.
Quick facts
At a glance
3 of 4 rows read the same for both.
FactMorphoEuler V2
PricingSnapshotA Morpho depositor's cost is the vault curator's fee. The Vault V2 page (https://docs.morpho.org/learn/concepts/vault-v2/, fetched 28 September 2026) caps it: "Supports both a performance fee (up to 50% on yield) and a management fee (up to 5% on total assets)." Live values are API fields, not page text: https://api.morpho.org/graphql on 28 September 2026 returned performanceFee 0 and managementFee 0.009999999973584 on Paypal USD Main, 0.1 and 0 on Sentora RLUSD Main, and 0.15 and 0 on Sentora PRIME Main - three of the four largest Ethereum Vault V2s. On all three the setPerformanceFee and setManagementFee timelocks read 0 seconds, so the curator can change the fee without notice. Supply rates float with each market's AdaptiveCurveIRM, so no fixed APY is quoted.Euler charges no protocol fee today; a supplier's cost is the vault-level interest fee a curator or governor sets. The Interest Rates page (https://docs.euler.finance/learn/interest-rates, fetched 28 September 2026) states: "Euler does not currently charge protocol fees. In April 2026, Fee Flow was turned off and Euler protocol fees were set to 0% across live and future deployments. The DAO can reintroduce protocol fees through future governance." and "Curators and vault governors can still configure vault-level fees where supported by the vault. For EVK vaults, the interestFee parameter can allocate a portion of borrower interest to the configured fee receiver." It adds that "EVK interest fees are denominated in vault shares." Per-vault interestFee values are Data API fields, not page text, and vary by vault; supply and borrow rates float with each vault's own IRM, so no fixed APY is quoted.
Asset coverageEditorial——
Region fitSnapshotglobalglobal
Custody modelEditorialNon-custodial: no company holds the coinsNon-custodial: no company holds the coins
From the published criteria
Which should you pick?
Morpho
78#3 of 8
Leads
Pick it when
Pick Morpho if rate authorship matters most — it scores 9/10 to Euler V2's 8/10 there (weight 24).
Strength
Rate authorship — 9/10
Tradeoff
Before you supply, run Morpho's own bad-debt query with the listed filter OFF — and note that the filter, not the risk, is what changes. Morpho publishes a per-market outstanding bad-debt figure through https://api.morpho.org/graphql, which is more than most of this category does, but the curated view lies by omission: across the 590 markets Morpho marks listed, outstanding bad debt on 2026-08-17 was $0.00 against $4.42bn of borrows; drop that one flag and the same API at the same moment reports 27 markets carrying $255,015,878.47, every single one of them listed=false — $88.2M in wstUSR/USDC on Ethereum, $86.9M in xUSD/USDC on Arbitrum One, $28.8M in RLP/USDC and $23.0M in sdeUSD/USDC on World Chain, a chain on which Morpho has no listed markets at all. Morpho has published no post-mortem for any of it; its own newsletter for the month those losses formed (https://morpho.org/blog/morpho-effect-november-2025, 01 Dec 2025) does not contain the words 'bad debt', 'loss', 'deficit' or 'incident' once (fourteen such terms were checked, each zero times) and instead reports that "Curators are generating $300,000 in fees per week". The mechanism that produced those numbers is the one you are buying: Morpho does not choose oracles — "Market curators (not Morpho) are responsible for selecting and implementing appropriate oracles for their markets." — and it explicitly supports "Fixed-Price Oracles" that report a constant, so a collateral token can be marked at $1 in the contract while trading at five cents. Morpho documents exactly what happens if that feed REVERTS (borrow and liquidate stop, lenders and repaying borrowers can still exit) at https://docs.morpho.org/curate/concepts/security-considerations, but nothing at all catches a feed that keeps answering with the wrong number, and the kill switch that would is something the same page tells the CURATOR to build. Two smaller things to check before signing: if your vault was minted by the MetaMorpho Factory V1.1 it "do[es] not realize bad debt", so its share price will look clean while a loss sits inside it and the first person out is paid at your expense; and on three of the four largest Ethereum Vault V2s — which share one curator address and one owner address and held ~$1.05bn between them on 2026-09-28 — setPerformanceFee and setManagementFee carry a 0-second timelock, so the 50%-of-yield and 5%-of-assets caps can be reached with no notice at all, whatever the docs say about "a window to exit".
Euler V2
77#4 of 8
Pick it when
Pick Euler V2 if shortfall record matters most — it scores 8/10 to Morpho's 7/10 there (weight 20).
Strength
Blast radius — 9/10
Tradeoff
Read the vault page before the protocol page. On Euler the protocol does not set your terms — one vault does, and Euler says so: 'Pause, guardian, curator, allocator, fee-recipient, cap, oracle, and other powers may belong to different addresses' (https://docs.euler.finance/learn/risk-curators). Before depositing, pull the specific vault's bad-debt row from Euler's own API — the borrowVault filter is a documented parameter and works: https://v3.euler.finance/v3/evk/vaults/bad-debt?chainId=1&borrowVault=YOUR_VAULT — because the security page will not tell you. On 2026-08-17 that endpoint carried $166,460,285.30 of standing bad debt across eleven chains, $134,245,336.28 of it priced within the minute. The single largest row, on one Plasma vault (0x57c582346B7d49A46Af3745A8278917D1c1311b8, 19 accounts), was $86,609,850.77 then ($90.76M debt against $4.15M collateral) and ~$90,813,221.34 on 2026-09-28, with collateral now $0 — the Plasma wipeout Euler describes in prose without ever attaching a number to it. On mainnet eUSDC-64, then the fifth-largest market by borrows, carried $13,604,080.55 of bad debt against $14,383,648.32 of borrows, and on 2026-09-28 it was still mainnet's largest bad-debt row at ~$13,609,495.61; socializeDebt is true on it, so that write-down falls on that vault's depositors alone, and there is nothing left to exit with — the vault reports utilization 1.0 and totalCash of 1 base unit (0.000001 USDC) against $14.38M supplied, with withdraw and redeem both flagged as hooked operations. Nothing on https://docs.euler.finance/security mentions any of it.
Self-identify in 10 seconds
Which one is actually for you?
MorphoLeads
Choose Morpho if rate authorship matters most
Rate authorship: 9/10 against 8/10 for Euler V2 (weight 24)
MorphoScore 78A permissionless isolated-market primitive deployed on 14 chains where the oracle, the interest-rate model and the liquidation LLTV are chosen once at market creation and can never be changed — so Morpho publishes no deviation threshold and no heartbeat anywhere, but does publish, per market and continuously, the exact oracle contract that liquidates you, a documented degraded-state regime for when that oracle reverts, and the exact dollar figure of bad debt sitting in each market.Strength: Rate authorship — 9/10Watch-out: Before you supply, run Morpho's own bad-debt query with the listed filter OFF — and note that the filter, not the risk, is what changes. Morpho publishes a per-market outstanding bad-debt figure through https://api.morpho.org/graphql, which is more than most of this category does, but the curated view lies by omission: across the 590 markets Morpho marks listed, outstanding bad debt on 2026-08-17 was $0.00 against $4.42bn of borrows; drop that one flag and the same API at the same moment reports 27 markets carrying $255,015,878.47, every single one of them listed=false — $88.2M in wstUSR/USDC on Ethereum, $86.9M in xUSD/USDC on Arbitrum One, $28.8M in RLP/USDC and $23.0M in sdeUSD/USDC on World Chain, a chain on which Morpho has no listed markets at all. Morpho has published no post-mortem for any of it; its own newsletter for the month those losses formed (https://morpho.org/blog/morpho-effect-november-2025, 01 Dec 2025) does not contain the words 'bad debt', 'loss', 'deficit' or 'incident' once (fourteen such terms were checked, each zero times) and instead reports that "Curators are generating $300,000 in fees per week". The mechanism that produced those numbers is the one you are buying: Morpho does not choose oracles — "Market curators (not Morpho) are responsible for selecting and implementing appropriate oracles for their markets." — and it explicitly supports "Fixed-Price Oracles" that report a constant, so a collateral token can be marked at $1 in the contract while trading at five cents. Morpho documents exactly what happens if that feed REVERTS (borrow and liquidate stop, lenders and repaying borrowers can still exit) at https://docs.morpho.org/curate/concepts/security-considerations, but nothing at all catches a feed that keeps answering with the wrong number, and the kill switch that would is something the same page tells the CURATOR to build. Two smaller things to check before signing: if your vault was minted by the MetaMorpho Factory V1.1 it "do[es] not realize bad debt", so its share price will look clean while a loss sits inside it and the first person out is paid at your expense; and on three of the four largest Ethereum Vault V2s — which share one curator address and one owner address and held ~$1.05bn between them on 2026-09-28 — setPerformanceFee and setManagementFee carry a 0-second timelock, so the 50%-of-yield and 5%-of-assets caps can be reached with no notice at all, whatever the docs say about "a window to exit".
Euler V2
Choose Euler V2 if shortfall record matters most
Shortfall record: 8/10 against 7/10 for Morpho (weight 20)
Euler V2Score 77Modular onchain lending where every market is its own vault: a third party picks your collateral, LTVs, oracle route and interest-rate model, and Euler publishes the resulting parameters — including a continuously recalculated, per-vault bad-debt figure — through its own data API rather than on the security page a buyer would actually read.Strength: Blast radius — 9/10Watch-out: Read the vault page before the protocol page. On Euler the protocol does not set your terms — one vault does, and Euler says so: 'Pause, guardian, curator, allocator, fee-recipient, cap, oracle, and other powers may belong to different addresses' (https://docs.euler.finance/learn/risk-curators). Before depositing, pull the specific vault's bad-debt row from Euler's own API — the borrowVault filter is a documented parameter and works: https://v3.euler.finance/v3/evk/vaults/bad-debt?chainId=1&borrowVault=YOUR_VAULT — because the security page will not tell you. On 2026-08-17 that endpoint carried $166,460,285.30 of standing bad debt across eleven chains, $134,245,336.28 of it priced within the minute. The single largest row, on one Plasma vault (0x57c582346B7d49A46Af3745A8278917D1c1311b8, 19 accounts), was $86,609,850.77 then ($90.76M debt against $4.15M collateral) and ~$90,813,221.34 on 2026-09-28, with collateral now $0 — the Plasma wipeout Euler describes in prose without ever attaching a number to it. On mainnet eUSDC-64, then the fifth-largest market by borrows, carried $13,604,080.55 of bad debt against $14,383,648.32 of borrows, and on 2026-09-28 it was still mainnet's largest bad-debt row at ~$13,609,495.61; socializeDebt is true on it, so that write-down falls on that vault's depositors alone, and there is nothing left to exit with — the vault reports utilization 1.0 and totalCash of 1 base unit (0.000001 USDC) against $14.38M supplied, with withdraw and redeem both flagged as hooked operations. Nothing on https://docs.euler.finance/security mentions any of it.
Criterion by criterion
Scorecard
Published criteria · weight in points of 868 of 8 cells scored. Strength is read from the evidence file; the weight is the published one. Methodology
Oracle liquidation price
weight 7.7 of 86Tie
Morpho7/10 out of 10
Euler V27/10 out of 10
Rate authorship
by 1 of 10weight 5.8 of 86Morpho leads
Morpho9/10 out of 10
Euler V28/10 out of 10
Blast radius
weight 5.8 of 86Tie
Morpho9/10 out of 10
Euler V29/10 out of 10
Shortfall record
by 1 of 10weight 4.8 of 86Euler V2 leads
Morpho7/10 out of 10
Euler V28/10 out of 10
Score dimensions
weights sum to 86
The published score is five dimensions, each weighted for the category. "Published criteria" is the criteria block above; the other four are the engine's own terms — availability, friction, trust record, measured data. Each bar is one side's points out of that dimension's maximum; the weight beside the name is its points of the 86-point weighted total. The published criteria above can fill 24 of the block’s 30. A weight marked “constant here” belongs to a dimension every ranked product in the category holds at the same value: it still counts in the total, and it orders nothing here.
Availabilityweight 20 of 86 · constant here
Morpho14/20Euler V214/20
Tie
Published criteriaweight 30 of 86
Morpho19.1/30Euler V219/30
Morpho leads
Frictionweight 10 of 86 · constant here
Morpho2.7/10Euler V22.7/10
Tie
Trust recordweight 8 of 86 · constant here
Morpho3.2/8Euler V23.2/8
Tie
Measured dataweight 18 of 86 · constant here
Morpho8.3/18Euler V28.3/18
Tie
Decision rulePublished order
Choose Morpho unless the term Euler V2 leads on is the one you are buying.
Pick Euler V2 if shortfall record matters most — it scores 8/10 to Morpho's 7/10 there (weight 20).
The published order weighs every criterion the same way for everyone. To weigh them your way, run .
From the published order
Next best action
If this isn't your case
Other matchups worth comparing
How you can lose money here, and what the ranking scores
Control failure: a key or vote changes the rules, freezes or mints.
Scored by Who sets your rate — a utilisation curve or a curator? · 24% (Morpho 9/10, Euler V2 8/10)
Oracle failure: a wrong price or outcome liquidates or settles a position.
Scored by What price gets you liquidated, and how far can it drift? · 32% (Morpho 7/10, Euler V2 7/10)
Insolvency failure: the firm or issuer that owes you cannot pay.
Scored by If one market goes bad, how much of yours goes with it? · 24% (Morpho 9/10, Euler V2 9/10)
Scored by Has it lost lender money before, and did it publish it? · 20% (Morpho 7/10, Euler V2 8/10)
Not assessed by this ranking: Contract failure, Regulatory failure, Execution failure, Exit failure. A high place says nothing about these; the Methodology tab says what each means.
Questions
Frequently asked questions
Morpho scores 1 point above Euler V2, led by rate authorship. Published scores, out of 100: Morpho 78 (rank 3 of 8 lending & borrowing), Euler V2 77 (rank 4 of 8).
Reviewed means both products compared here was read against its sources on or after that date; every ranked category is re-read at least every 45 days. Models research, extract and parse. A deterministic engine ranks. Every quote passes an adversarial refute pass.
Answer a few quick questions and get one clear recommendation based on how you actually plan to use crypto — with rationale, tradeoffs, and a path to monitor the decision.
No signup·Free first pass · Private·No spam · No account
Not financial advice · Independent · Always do your own research
Not financial advice · For informational purposes only · Always do your own research
Morpho #3 of 878
Euler V2 #4 of 877