Regulatory Net Tightens on DeFi as Global Crackdown Intensifies

Brussels is now eyeing DeFi lending vaults as the next frontier for MiCA regulation, a move that could force decentralized protocols to navigate the same compliance maze as traditional banks. The European Commission's May 2026 consultation has put Morpho's Vault V2 architecture—a system where responsibilities are split between owners, curators, allocators, and sentinels—squarely in regulators' crosshairs. The core challenge? These vaults channel billions into onchain...