The Good Tech Companies - Gelato and Morpho To Offer Embedded Crypto-Backed Loans For Wallets, Brokers, And Fintech Apps

Episode Date: June 25, 2025

This story was originally published on HackerNoon at: https://hackernoon.com/gelato-and-morpho-to-offer-embedded-crypto-backed-loans-for-wallets-brokers-and-fintech-apps. The partnership offers white-labeled, non-custodial, and Web2-like stablecoin loans embedded directly in your wallet or application. Check more stories related to web3 at: https://hackernoon.com/c/web3. You can also check exclusive content about #web3, #gelato, #chainwire, #press-release, #gelato-network, #blockchain-development, #crypto-wallet-security, #good-company, and more. This story was written by: @chainwire. Learn more about this writer by checking @chainwire's about page, and for more stories, please visit hackernoon.com.

This audio is presented by Hacker Noon, where anyone can learn anything about any technology. Gelato and Morpho to offer embedded crypto-backed loans for wallets, brokers, and fintech apps. By Chainwire. Zug, Switzerland. June 25, 2025. Chainwire. Gelato. The Web3 developer cloud platform, together with Morpho, the decentralized lending protocol behind some of the most trusted lending infrastructure in Ethereum, today announced the launch of embedded crypto-backed loans. The new partnership enables wallets, brokers, and fintech apps to allow the

arousers to instantly borrow stablecoins, like USDC, using their crypto assets askeleateral. The borrowing flow has a simple, web-to-like experience that is non-custodial and fully on-chain. By combining Gelato's smart wallet SDK with Morpho's permissionless lending markets, the two teams offer a complete borrowing flow that platforms can securely integrate in days. Crypto-backed loans are fully non-custodial and on-chain, governed entirely by smart contracts. Users can initiate loans in an on-chain bank account powered by embedded wallet infrastructure, 7,702 powered smart accounts, gasless transactions, and the ability to execute multiple transactions in a single click.

Morpho, which Coinbase recently partnered with to enable similar BTC-backed loans, brings proven lending infrastructure with over $6.5 billion in total value locked. Gelato's smart wallet SDK, used by companies such as Safe, Infinex, and Gnosispay, handles account abstraction, one-click onboarding, and gas sponsorship, enabling applications to deliver modern, web-to-style user experiences. Greater than, we're excited to see more platforms bring crypto-backed loans to users in a greater than self-custodial way," said Paul Frambot, CEO of Morpho Labs. Morpho is built greater than to be integrated, and Gelato makes it easy to deliver a seamless

UX on top. Embedded crypto-backed loans are designed to meet the needs of both consumer and institutional users, offering a simple, intuitive interface while preserving Thenon custodial guarantees that users and platforms increasingly expect. Key features Borrow USDC in OneClick using crypto assets like BTC as collateral. Fully non-custodial and on-chain. No credit checks required. OneClick wallet creation via email, social login, or

PASCIs. EIP 7702 powered smart wallet account. Embedded UX with full brand control. Gasless transactions across plus 50 EVM chains. Later this year, Gelato will introduce new security and recovery features to extend the smart wallet stack. These include PASCI authentication, multi-signer two-factor approvals using regulated custodians, and on-chain recovery modules tied to email or social logins.

All upgrades are implemented at the smart contract level to maintain full decentralization. A full demo of the product is available at https://morfo-a.demo.gelato.cloud, showcasing the end-to-end borrowing experience from wallet creation to BTC collateralization and loan issuance. Embedded crypto-backed loans are now available in beta on Polygon, Arbitrum, Optimism, and Scroll, with support for Katana coming soon. Gelato and Morpho are working closely with additional chain teams to expand deployment in the months ahead. About Morpho Morpho is a decentralized lending protocol, powering open, on-chain money markets. It enables pooled and peer-to-peer borrowing with programmable risk parameters and oracle-based

pricing. With over $6.5 billion in total value locked, Morpho is one of the most widely adopted lending platforms in Ethereum. Users can learn more at https://morpho.org/. About Gelato Gelato is Web3's developer cloud, providing enterprises with critical infrastructure to build web2-like non-custodial applications at scale. It offers developer tooling for smart wallets, gas abstraction, and deploying enterprise-grade rollups. Gelato is used by leading apps, wallets, and protocols across the EVM ecosystem to deliver seamless, secure, and fully on-chain user flows.

Users can learn more at https://gelato.cloud Slash contact Matthew Hammond Gelato Press at gelato dot cloud slash contact matthew hamond gelato press at gelato dot digital this story was published as a press release by chainwire under hacker noon's business blogging program thank you for listening to this hacker noon story read by artificial intelligence visit hacker noon dot com to read write learn and publish