Morpho Founder Proposes Vault Classification; Aave Founder Calls It Self-Interested

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Morpho founder Paul Frambot proposed categorizing on-chain vaults as 'noncustodial' and 'discretionary' to assist regulators in understanding their functions. The proposal met resistance from Aave founder Stani Kulechov, who labeled it self-serving. Some developers questioned whether timelocks truly eliminate manager influence. On-chain trading signals remain a central focus in protocol design, with technical analysis for crypto increasingly used to evaluate vault behavior and risk.

ME News reports that on September 25 (UTC+8), Morpho founder Paul Frambot proposed a classification scheme suggesting that on-chain treasuries be divided into “noncustodial” and “discretionary” categories to clearly define their nature to regulators. The proposal was immediately opposed by Aave founder Stani Kulechov, who called the classification “self-serving.” Several treasury developers also raised concerns, arguing that timelock mechanisms do not truly eliminate the role of administrators. (Source: ChainCatcher)

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