The Morpho Association proposes switching to the Merkl stack to handle rewards computation and claiming processes.
The reasons for this change are:
- Merkl is deployed on most chains, while our current stack is not. This has become a limiting factor as Morpho expands to new chains.
- Merkl enables users to claim rewards every 8 hours, compared to our current weekly claiming schedule.
- Merkl has become the industry standard solution for reward campaigns, used by many Morpho ecosystem partners.
- Switching to Merkl would free up resources that can be redirected toward building the best onchain loan infrastructure—Morpho’s core objective.
If approved, the existing fixed-rate rewards programs on Ethereum and Base would transition to Merkl using variable rates instead. The first campaign would have the following specifications:
- 1-month fixed budget campaign
- Budget per loan asset:
- On Ethereum:
- USDC: 380,000 MORPHO
- USDT: 50,000 MORPHO
- WETH: 70,000 MORPHO
- On Base:
- USDC: 90,000 MORPHO
- WETH: 30,000 MORPHO
- EURC: 4,000 MORPHO
- On Ethereum:
NB: The Optimistic Rewards Framework still holds (see here and here for more information). As a result the 1st campaign budget might change a little bit to approximate current rewards rates as much as possible, taking into account new suggestions as well.