Open lending markets on Ethereum let anyone borrow pesos stablecoin against crypto collateral or supply wARS and earn yield
Buenos Aires, August 19th 2026 — Ripio, Latin America's leading crypto infrastructure provider and issuer of wFIAT stablecoins, today announced access to wARS Borrow and Yield on Morpho: open lending markets on Ethereum where wARS holders can supply peso stablecoin liquidity and earn yield, or borrow wARS — Ripio's stablecoin Argentine peso — against their crypto. The markets are live on Morpho and curated by KPK, a DeFi vault curator and risk manager. Yield is already integrated in the Ripio app.
The markets themselves are public smart contracts on Ethereum. They can be used directly on Morpho with any wallet, and anyone can inspect positions, parameters and rates onchain. The Ripio app is one way in, not the only one: it removes the wallet-and-gas step for users who would rather not deal with it.
The borrow side: peso stablecoin liquidity without selling crypto
Someone holding bitcoin who needs pesos has had one option until now: sell it.
Borrow gives them another. The user posts eligible crypto as collateral and draws wARS. The collateral stays in the position, and the loan can be repaid whenever the user chooses, subject to market conditions. For users with a Ripio account, wARS converts to pesos through the rails Ripio already operates.
"For the first time, Argentines can borrow onchain in their own currency. Until now, accessing credit in DeFi meant borrowing in dollars and then converting to pesos, which added friction and, more importantly, exposed borrowers to FX risk they never asked for. With this vault on Morpho, that entire layer disappears: you borrow in pesos, you spend in pesos, and your debt lives in the currency of your daily life," said Fermin Rodriguez, Head of Product at Ripio.
The supply side: yield on wARS
Yield covers the supply side of the same markets. wARS holders, including Ripio users and selected fintech and institutional partners, deposit into the KPK wARS Yield vault and receive yield paid out of the interest that borrowers pay on Morpho.
Those deposits are what borrowers draw against, so each product depends on the other. More wARS supplied means more peso stablecoin liquidity available to borrow, and borrower demand is what pays depositors.
How the risk is managed
Each lending market is isolated by collateral type, with its own price oracle loan-to-value limit: 62.5% for WBTC and WETH, 77% for USDC and USDT. wARS is priced via Chainlink's NCFX USD/ARS Data Feed. A problem in one market stays in that market. Yield Depositors sit across all of them, so the vault's exposure is to the set rather than to any single market.
KPK deployed the markets, set the parameters, and runs the wARS vault on automations rather than a manual desk. Allocations rebalance across the approved markets, monitoring runs 24/7, and on risk alerts the affected market is de-risked in seconds, without waiting for a human. The automations move fast within hard bounds and never extend to custody of deposits. Per-market caps, withdrawal buffers and a three-day timelock sit under its published risk framework.
“Being based in Argentina makes this one particularly meaningful. wARS brings the Argentine peso onchain, and our role at KPK is to build the infrastructure around it so it can be used productively without compromising on risk. Proud to be working with Ripio and Morpho on this.”, said Alejandro Romero, Co-Founder & COO at KPK
Interest accrual and position accounting happen in smart contracts. Anyone can verify positions on Ethereum, and anyone can liquidate a position that falls below its collateral requirement.
About Ripio
Ripio is Latin America's leading crypto infrastructure provider and the issuer of wFIAT stablecoins, a family of onchain local-currency stablecoins that includes wARS, the Argentine peso stablecoin. Ripio powers access to crypto, stablecoins and local-currency rails for users and businesses across the region. Founded in Argentina, Ripio has spent over a decade building the financial infrastructure that connects Latin America to onchain markets.
About KPK
KPK is a DeFi curator and risk manager that deploys and manages onchain lending markets and vaults for institutions and consumer platforms. KPK operates under a published risk framework covering market parameters, oracle configuration, allocation caps and continuous monitoring. Learn more at kpk.io.
About Morpho
Morpho is an open, permissionless lending protocol that enables isolated lending markets with independently configurable risk parameters. Learn more at morpho.org.
Frequently asked questions
What can I use as collateral?
At launch, Borrow accepts WBTC, WETH, USDC and USDT. Each of those assets has its own lending market with its own borrowing limit, so the amount of wARS available against a given deposit depends on which asset is posted. Ripio and KPK plan to review the list as the markets develop.
What happens if my collateral loses value?
Every position has a collateral requirement. If the value of the collateral falls far enough relative to the outstanding loan, the position becomes eligible for liquidation and part or all of the collateral can be sold to repay the debt. Liquidation is carried out by third parties on the open market, and it can happen at any hour. Users who want to reduce the risk can repay part of the loan or add collateral before that point.
Where does the yield come from?
The base yield comes from the interest borrowers pay on the same markets the vault supplies, so it moves with borrower demand rather than staying fixed.
Is yield a dollar return?
No. Both the deposit and the yield are denominated in wARS, so the return is in pesos stablecoin. If the peso stablecoin depreciates against the dollar over the period a user is deposited, the value of the position measured in dollars can fall even while the wARS balance grows. Anyone comparing this to a dollar-denominated product should account for that.
Does Ripio hold my crypto, and can I exit whenever I want?
Collateral sits in smart contracts on Ethereum, not on Ripio's balance sheet, and positions can be verified independently onchain. Loans can be repaid at any time. Withdrawals from Yield depend on the liquidity available in the vault at that moment, which KPK manages through allocation caps and withdrawal buffers, so a very large withdrawal during a period of high borrowing demand may take longer to process.
Do I need a Ripio account?
Not to use the markets. They are public smart contracts on Ethereum and work with any wallet through Morpho. A Ripio account adds the in-app experience and the peso rails: Yield is live in the app today, with Borrow to follow.
Important information
Availability of Borrow and Yield is subject to eligibility criteria and may vary by jurisdiction. Not all assets or features are available to all users.
Borrowing against crypto collateral involves risk. Collateral values fluctuate and interest rates are variable. If the value of the collateral falls relative to the outstanding loan, the position may be liquidated, which can result in partial or total loss of that collateral. Liquidations are executed permissionlessly by third parties.
Yield returns are denominated in wARS, not in US dollars or any other currency, and are exposed to depreciation of the Argentine peso. Yield is variable, is not guaranteed, and depends on borrower demand and market conditions. Deposits are not bank deposits and are not covered by any deposit insurance or guarantee scheme.
Both products rely on third-party smart contracts, price oracles and protocol infrastructure. Smart contract vulnerabilities, oracle failures or liquidity constraints could result in loss of funds or delayed withdrawals.
Nothing in this announcement constitutes investment, financial, legal or tax advice, or a recommendation to enter into any transaction. Users should assess their own circumstances and risk tolerance, and seek independent advice where appropriate.