A protocol is a set of smart contracts that provides financial services directly on a blockchain.
In Earn, the protocol is the underlying technology used to generate yield on your deposited assets. Our Earn feature uses Morpho, a decentralized lending protocol.
How does a protocol work in Earn?
When you deposit funds into Earn, your assets are supplied to a selected vault built on the Morpho protocol. The vault allocates these assets across lending markets, where they can generate yield.
You don’t need to interact with the protocol separately — deposits, withdrawals, balances, and earnings can be managed directly in the app.
Is a protocol the same as a vault?
No. A protocol, such as Morpho, provides the underlying infrastructure and lending markets.
A vault operates on top of the protocol and follows a specific strategy for allocating deposited assets across those markets.
This is why you may see Morpho as the protocol and different vault options when choosing where to deposit your assets.