Morpho Pauses MORPHO Token OFT (cross-chain token standard) Bridge on Arbitrum

Morpho states its smart contracts remain secure after the rsETH incident, with exposure limited to about $1 million in ETH loans across two isolated markets and two vaults on April 19.

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Summary

Morpho said it paused the MORPHO token OFT bridge on Arbitrum as a precaution following the rsETH incident and will keep cross-chain transfers suspended until the root cause is identified. The company said its smart contracts remain secure and that only about $1 million in ETH loans used rsETH as collateral. CEO Paul Frambot said the impact was limited to two isolated markets and two of roughly 500 Morpho Vaults with deposits above $10,000 on April 19.

Terms & Concepts
  • OFT: A cross-chain token standard designed to let a token move across multiple blockchains.
  • Arbitrum: An Ethereum layer-2 network built to process transactions more efficiently and at lower cost.
  • Morpho Vaults: Vault-based lending products on Morpho that allocate deposited assets across lending markets according to set parameters.