Coinbase introduced fixed-rate loans, allowing customers to borrow USDC against their bitcoin holdings. The offering integrates with Morpho Midnight, a decentralized finance protocol, and operates on the Base network.
These loans feature interest rates and repayment dates determined at the outset. This provides borrowers with more certainty compared to variable-rate products. The new service complements Coinbase's existing variable-rate lending. That existing lending holds over $1.4 billion in outstanding loans. These loans are backed by approximately $3 billion in collateral.