API3 Introduces OEV-Boosted Morpho Markets

Cryptowisser · 2025-06-23T06:20:41+00:00

The API3 team has launched OEV-Boosted Morpho Markets, enhancing auctions for oracle updates that support liquidations. This new feature aims to recycle auction value into user incentives, fostering liquidity and usage.

Cryptowisser

2025-06-23 06:20:41

Abstract generation in progress

On Friday, the API3 team announced via X that it has launched OEV-Boosted Morpho Markets. The new feature is built on Morpho Labs, curated by Yearn Finance, and powered by API3.

API3 allows liquidators to compete in auctions for the oracle update itself, the data that enables the liquidation in the first place. The OEV flywheel works this way;

OEV auctions capture value from liquidations
Value is recycled into user incentives
Incentives attract liquidity and usage
More usage→more liquidations

API3 is a data oracle that enables APIs to feed data to blockchain applications directly without third-party middlemen. API3 is trading at $0.568, down 1% in the last 24 hours

API3-2,07%

MORPHO3,62%

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