Morpho (MORPHO) sees record 5.59 million token outflow from exchanges

Morpho (MORPHO) holders moved 5.59 million tokens off centralized exchanges in a single day, marking the largest net outflow since the token began trading in November 2024. This withdrawal, valued at approximately $10.8 million, represents about 0.85% of the total circulating supply.

On-chain data from Santiment suggests that such outflows often indicate holders are moving assets into self-custody or cold storage, reducing the immediate supply available for selling on trading platforms. This trend follows a previous significant outflow in July 2026, which coincided with increased demand from the Korean market via the Upbit exchange.

Despite the reduction in exchange supply, the MORPHO price has remained relatively stable near $1.94. The protocol, a modular DeFi lending platform, recently reached a total value locked milestone of $10 billion and was selected by Robinhood to power its Earn product. Morpho previously secured $175 million in funding led by Paradigm and a16z crypto.