Problem

As institutional and retail capital moves on-chain, a new set of challenges emerges. The growth of curated vaults has made opportunity design more dynamic, but accessing and composing these opportunities has become operationally difficult and technically fragmented.

Let’s break it down:

▸ Fragmentation across ecosystems

Each curator operates in isolation. Vaults built on Morpho are siloed from those on Symbiotic, EigenLayer, or Gearbox. Even when strategies offer similar exposure (e.g., stETH restaking), they live in separate systems with different wrappers, constraints, and interfaces. This fragmentation makes it difficult for users to build coherent portfolios or understand comparative risk.

▸ Limited composability

The diversity of vault structures: fixed income, restaking, LPs, or tokenized credit, creates reward streams that are difficult to unify. Protocols lack standardized interfaces. Positions can’t be composed into a single ERC-20 or ERC-4626. This limits users’ ability to stack multiple sources of reward into one liquid, capital-efficient solution.

▸ Liquidity constraints

While shared security unlocks new rewards, it introduces friction:

• Unbonding periods of 7–21 days

• Lockup mechanics that delay liquidity

• Exposure to infrastructure-level risk

This reduces capital mobility, particularly painful for approaches that require flexibility, such as liquidity provisioning or looping strategies.

▸ Operational complexity

Today’s curated DeFi requires:

• Managing multiple vault interfaces and strategies

• Navigating custom wrappers and unstaking logic

• Tracking asynchronous rewards and emission schedules

• Assessing risk and decentralization parameters

For sophisticated institutions, this means more overhead. For retail users, it creates a barrier to entry.