Morpho Markets v1 are simple, immutable lending markets containing 1 loan asset and 1 collateral asset. Each market has its own interest rate. Markets can be combined to support any type of risk profile or use case.
Morpho Vaults v1 are curated lending vaults that can allocate deposits to any number of Morpho Markets. The rate of each vault depends on which Morpho Markets it allocates to. Each vault is customizable and has a different risk profile.
Who can deploy Morpho Markets & Morpho Vaults?
Morpho Markets and Morpho Vaults creation is permissionless, anyone can deploy a market or vault. However, setting the various immutable parameters for a well functioning market, or curate risk using a Morpho Vault, is no trivial task, and requires specific knowledge and appropriate tools.
What is the purpose of curation?
Since anyone can create markets, there are many options, making it hard to choose the appropriate ones and know when to change your position if the market changes.
Morpho Vaults simplify this by automatically allocating deposits and adjusting them according to a set strategy, making it easier for you to earn without worrying about these complexities.
Who are curators?
Curators are independent, third-party risk experts who use their expertise to offer various Morpho Vaults.
You can read more about curation in the documentation here.