How to interpret this $MORPHO ๐โจ
๐โก Although $MORPHO โFeesโ are reported (โ US $284 m annualised) ๐๐ it appears these are gross protocol fees and not net revenue ๐ฅ๐๐ฅ recognized by the protocol treasury/governance. ๐โจ
๐ฐ๐ โRevenueโ being reported as zero suggests that the protocol ๐ฅ hasnโt yet activated its mechanism to capture and retain fees in the treasury/governance. ๐โก The protocol may currently pass through most of the value to users (suppliers/borrowers) rather than capturing it. ๐โจ
๐ฐ๐ฐ โEarningsโ being negative means that after incentives the protocolโs net position is a loss (-US $22.28 m annualised). ๐๐ This implies that incentives are significant and exceed the protocolโs fee capture. ๐๐
๐โจ The article about โZero Protocol Feesโ backs up that the fee model is not yet active ๐โก and that revenue could start when governance chooses to turn on the fee switch. ๐ฐ๐