Rewards
Tenor rewards lenders with MORPHO tokens. Rewards may also be issued by third parties as part of liquidity incentive programs.
Selected Morpho Blue USDC borrowers can also earn USDC through the Migrate & earn promotion.
How rewards work
The MORPHO program rewards lenders. Each market's weekly MORPHO is split among lenders in proportion to how much they lend and for how long, weighted by a multiplier:
| Lending activity | Multiplier |
|---|---|
| Matched lend position | 2X |
| Qualifying resting lend offer | 1X |
A resting lend offer qualifies only if it has Earn while you wait enabled and its rate is at or below its market's maximum eligible rate, listed below.
Example
Suppose a market receives 2,000 MORPHO for the week, and 100,000 USDC is matched in it for the entire week. A 1,000 USDC amount held the whole week is 1% of the market's lending:
- Matched (2X): earns the full 1% share — 20 MORPHO.
- Resting (1X): the same amount as a qualifying resting offer earns half the rate — about 10 MORPHO.
Program starting September 7, 2026
Tenor allocates 3,000 MORPHO per week to lenders for 8 weeks, across all markets on Base, Ethereum, and Arc.
Maximum eligible rates for resting lend offers, by market type. Looping markets have correlated collateral and loan tokens, such as cbETH/WETH.
| Market type | Maximum eligible rate |
|---|---|
| Standard markets | 5% |
| Looping markets, USDC loan token | 7.5% |
| Looping markets, WETH loan token | 2% |
A new incentive program will launch following the end of this one. It may focus on a subset of markets or participants, such as borrowers.
The 1X multiplier for resting lend offers may be removed in favor of rewarding only matched positions. Any such change will be announced at least one week in advance.
Tenor reserves the right to reduce or nullify the reward allocation of any account whose activity is intended to manipulate the metrics rewards are based on, such as matching lend and borrow positions against oneself across multiple accounts to inflate volume.
Claiming rewards
Rewards are distributed through Merkl, a reward distribution protocol, and are added weekly rather than in real time, so your claimable balance may not immediately reflect your most recent activity.
You can claim rewards directly from the Tenor interface or through Merkl. For step-by-step instructions, see Claim Rewards.