Sand Castle

As of Fall 2025, there is over $4.2 Billion in capital locked into concentrated liquidity positions across Aerodrome, UniswapV3, and Uniswap V4. These LP positions cannot be used with other protocols and the capital is inaccessible for borrowing. Sandcastle seeks to change that by empowering these LP positions with the ability to be valued appropriately which drastically improves their efficiency.

Sandcastle is a DeFi protocol that enables NFTs to be used as collateral with Morpho Blue. Particularly, it enables the usage of concentrated liquidity LP positions( on Aerodrome, Uniswap V3, UniswapV4) as collateral within a Morpho Blue market.

The points of interaction for SandCastle are:

• Position Manager

• Position Manager Factory

• Position Oracle