Robinhood just crossed $377 billion in total platform assets, a 48% jump from a year ago. And instead of quietly celebrating, the company is using the momentum to push deeper into decentralized finance with a product that would have sounded like science fiction to its user base three years ago.

The brokerage announced Robinhood Earn, a lending feature built on top of Morpho’s open credit network that lets eligible US users lend USDG, a dollar-pegged stablecoin, directly from a self-custody wallet inside the Robinhood app. The estimated yield sits around 7% APY, which is the kind of number that makes traditional savings accounts look like they’re standing still.

How the Morpho integration actually works

Morpho serves as the foundational credit network, handling the actual lending mechanics on-chain. Steakhouse Financial provides the vault infrastructure where user-supplied USDG gets deposited. And Robinhood Chain acts as the settlement layer, processing transactions underneath.

Users deposit stablecoins into Morpho vaults through the Robinhood app, those funds get allocated across various lending markets, and interest accrues based on actual borrower activity.

Robinhood secured coverage from Lloyd’s of London and RELM specifically to protect against cyber incidents and smart contract vulnerabilities.

Scale meets DeFi for the first time

Robinhood has approximately 27.7 million funded customers.

Paul Frambot, Morpho’s co-founder, emphasized the collaboration’s role in bringing on-chain finance to a mainstream audience. Morpho has previously partnered with Coinbase and Gemini, but neither of those platforms commands the same type of retail investor base that treats Robinhood as their primary financial app.

Robinhood Chain’s public mainnet launched alongside these DeFi features.