Overview
- Coinbase disclosed Tuesday that it added fixed-rate USDC loans secured with cbBTC and executed through Morpho Midnight on the Base network.
- Each loan fixes the interest rate and a repayment date when the trade is made and requires repayment by that date or lets the lender claim the cbBTC collateral.
- Morpho Midnight matches lenders and borrowers via an onchain offer book where lenders post offers and borrowers pick terms instead of joining a changing-rate pool.
- Coinbase’s existing variable-rate Morpho Blue product still shows more than $1.4 billion in active loans backed by about $3 billion in collateral while Midnight’s initial rollout holds roughly $30 million in deposits.
- The deal keeps Coinbase as the customer-facing app while shifting onchain credit mechanics to Morpho and positions Midnight to support other collateral types and tokenized real-world assets in future integrations.