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Coinbase Launches ETH-Backed USDC Loans Up to $1 Million

Powered by Morpho on Base, the feature channels DeFi rails through Coinbase’s interface to offer compliant access to on-chain credit.

Overview

  • Eligible U.S. customers outside New York can now borrow USDC against their Ethereum without selling their holdings.
  • Loans use WETH as collateral today with support for staked ETH (cbETH) planned, and funds cannot be used for trading on Coinbase.
  • Borrowers can take up to roughly 75% loan-to-value with automatic liquidation around an 86% LTV threshold.
  • Interest rates are variable and set by supply and demand on Morpho, and there is no fixed repayment schedule.
  • On-chain lending via Base and Morpho has processed about $1.25 billion in originations backed by $1.37 billion in collateral, with roughly $810 million outstanding across more than 13,500 borrowing wallets.