Coinbase Introduces Staked Ethereum Loans, Allowing Users to Borrow Up to $1 Million

TheNewsCryptoPubblicato 2026-01-23Pubblicato ultima volta 2026-01-23

Introduzione

Coinbase has introduced a new staked Ethereum loan service for eligible U.S. users, enabling them to borrow up to $1 million in USDC using cbETH—a token representing their staked ETH—as collateral. This allows borrowers to retain staking rewards and maintain exposure to ETH's price movements while accessing liquidity. Loans are overcollateralized, with interest rates based on market conditions and no fixed repayment date. However, borrowers must keep the loan-to-value ratio below 86% to avoid automatic liquidation in case of sharp ETH price drops. The feature, powered by Morpho, offers long-term stakers greater flexibility without needing to unstake or sell their ETH.

Coinbase has launched a new borrowing feature which allows the eligible U.S. users to borrow upto $1 million in USDC without selling or unstaking their ETH. The users can use the new product, cbETH, which is Coinbase’s token that represents the staked ETH as collateral to borrow USDC. This makes users continue earning staking rewards and maintain exposure to ETH’s price movement.

How Coinbase’s cbETH Borrowing Works

The users who hold the cbETH can deposit it as collateral on the coinbase and can borrow USDC against it. The borrowed USDC can be converted into U.S. dollars directly inside Coinbase. Depending on the collateral, the loans can go upto $1 million. The Loans are Overcollateralized which means the users must deposit more value than they borrow, with the interest changing based on the market conditions. Borrowers can repay part or the full amount of the loan at any time without a fixed repayment date. This lending system is powered by Morpho, an on-chain lending protocol.

Coinbase warns users to keep their loan-to-value below 86%. If the ETH price falls sharply, then the automatic liquidations will happen, and the borrowers should face the penalties. Because ETH is more volatile, borrowers must carefully manage the risks.

Staking ETH usually locks the funds for a long period. By allowing the cbETH to be used as collateral, users can keep their Ether exposure and access liquidity without selling during market downturns. This makes the staked Ether more flexible and useful for the long-term holders.

This launch shows how the crypto platforms are evolving beyond simple buying and selling. Tokenized staking products like cbETH are becoming more popular as investors are looking for ways to avoid locking their capital while still earning yield.

Highlighted Crypto News:

Capital One to Acquire Brex in $5.15B Deal, Expanding Fintech Push

Domande pertinenti

QWhat is the maximum amount users can borrow through Coinbase's new staked Ethereum loan feature?

AUsers can borrow up to $1 million in USDC.

QWhat cryptocurrency must users stake as collateral to access these loans?

AUsers must stake cbETH, which is Coinbase's token that represents staked ETH, as collateral.

QWhat is the main advantage for users who borrow against their staked ETH instead of selling it?

AUsers can continue earning staking rewards and maintain exposure to ETH's price movement while accessing liquidity.

QWhat on-chain lending protocol powers Coinbase's new borrowing system?

AThe lending system is powered by Morpho, an on-chain lending protocol.

QWhat critical risk warning does Coinbase give to borrowers regarding their loan-to-value ratio?

ACoinbase warns users to keep their loan-to-value below 86% to avoid automatic liquidations and penalties if the ETH price falls sharply.

Letture associate

In Conversation with Ray Dalio: We Are Currently in an AI Bubble, with 1% of My Portfolio in Bitcoin

Ray Dalio, founder of Bridgewater Associates, warns in an interview that the current AI boom shows classic bubble characteristics, which could lead to significant economic downturns as seen in past cycles like 1929 or 2000. He explains that speculative enthusiasm, fueled by debt and overvaluation, often precedes a crash when rising rates or taxation force asset sales, causing widespread losses and recession. Dalio also outlines his "Big Cycle" theory, describing an approximate 80-year pattern where widening wealth gaps, massive government deficits, and shifting geopolitical power (like China's rise) create internal conflict and global instability. He emphasizes that we are in a late-cycle, transitional phase where traditional powers like the US and UK face decline. For personal wealth protection, Dalio advises diversification beyond cash into assets like stocks, bonds, real estate, and particularly gold, which he prefers over Bitcoin. While he holds about 1% of his portfolio in Bitcoin as a non-printable hard asset, he views gold as more secure from technological or governmental threats. Regarding AI's impact, Dalio believes it will disproportionately benefit capital owners, worsening inequality by replacing both physical and cognitive labor. He suggests that human intuition and emotional intelligence, combined with AI, will be key for future workers. On taxation, Dalio argues that wealth taxes are impractical and risk triggering asset sell-offs, reducing productive investment. He points to the UK as a cautionary example of debt, low productivity, and political strife. Geopolitically, Dalio foresees a more regionalized world, with the US showing weakness in prolonged conflicts like with Iran, akin to past imperial declines. The ideal outcome, he suggests, is coexisting powerful blocs (e.g., Americas, China-Asia Pacific) without major war.

marsbit2 h fa

In Conversation with Ray Dalio: We Are Currently in an AI Bubble, with 1% of My Portfolio in Bitcoin

marsbit2 h fa

Daily 7.2 Trillion KRW: Foreign Capital's Record Net Buying on Friday! Wall Street Says Headwinds for Korean Stock Fund Flows Have Subsided

South Korean stock market sees a dramatic shift in fund flows. On July 31, foreign investors made a record net purchase of approximately KRW 7.2 trillion in KOSPI stocks, marking a fundamental reversal from the persistent large-scale net outflows seen in previous months. This contributed to a significant narrowing of foreign net selling in July to KRW 9.8 trillion, down sharply from KRW 48.4 trillion in June and KRW 44.5 trillion in May. Simultaneously, domestic institutional pressure eased. South Korean pension funds and asset managers turned to a net buying position in July, purchasing KRW 1.0 trillion worth of KOSPI shares, contrasting with net sales in May and June. Market volatility is expected to be dampened by new financial regulations. Effective July 31, the Financial Services Commission tightened access for retail investors to single-stock leveraged ETFs by raising the minimum cash deposit requirement. Trading volumes for these products subsequently dropped to about 50% of their monthly average. Citigroup Research maintains its year-end KOSPI target of 10,000 points. The firm cites several supportive factors: the substantial easing of headwinds from capital outflows, a robust fundamental outlook for the semiconductor sector, historically low market valuations, strong economic fundamentals, and the potential for policy support from financial authorities if needed.

marsbit2 h fa

Daily 7.2 Trillion KRW: Foreign Capital's Record Net Buying on Friday! Wall Street Says Headwinds for Korean Stock Fund Flows Have Subsided

marsbit2 h fa

Breaking! OpenAI's Next-Gen AI Solves 10 Fields Medal-Level Problems

OpenAI's next-generation AI model Astra achieves breakthroughs in 10 long-standing mathematical conjectures. The results, including constructing the first known infinite, finitely presented non-sofic group—resolving a major question since 1999—and advancing the high-dimensional sphere packing problem beyond a 46-year-old barrier, are detailed in a 249-page paper. Key proofs have been formally verified using Lean 4. The AI also refuted a rigidity conjecture by Fields Medalist Alain Connes. According to OpenAI, generating these proofs cost under $2,000. Experts describe the findings as potentially Fields Medal-worthy and a landmark moment for both mathematics and AI, showcasing the model's ability to produce profound, human-like reasoning across diverse fields like group theory, geometry, and operator algebras.

marsbit4 h fa

Breaking! OpenAI's Next-Gen AI Solves 10 Fields Medal-Level Problems

marsbit4 h fa

How to Make Yourself Irreplaceable by AI Forever

This article argues that the primary threat from AI is not job replacement, but remaining trapped in "wage slavery"—financial dependence on employers. The path to becoming irreplaceable is not resisting AI, but becoming an "unemployable" individual who builds their own meaningful enterprise. The author identifies five key elements for this: Agency (acting without permission), Taste (judging what's worthwhile), Persuasion, Persistence, and Iteration. The solution is to stop being a "pawn" in someone else's game. To start, you must fundamentally change your identity and environment, then engage in rapid, real-world trial and error. While both coding and creating media (content) are powerful, content is more crucial. AI can generate assets, but true value lies in subjective, human-driven content that builds trust and narrative. The actionable advice is to carve out 15 minutes to answer foundational questions: 1) Uncover your "raw material"—what you know deeply or solve effortlessly. 2) Define your contrarian perspective—what common beliefs you think are wrong. The intersection of these answers is your direction. Finally, you must launch by publishing your first core idea immediately, using the feedback to iterate and develop the skills needed for a self-directed life and career.

marsbit5 h fa

How to Make Yourself Irreplaceable by AI Forever

marsbit5 h fa

Thanks to Dice Rolls, Bitcoin Keys Are Stored Offline, But Not Everyone Will Do It

The article discusses using dice rolls to generate secure Bitcoin wallet seeds, providing entropy independent of potentially flawed hardware random number generators. It explains that each fair dice roll offers about 2.585 bits of entropy, with around 50 rolls needed for a standard 12-word seed phrase and 99+ recommended for higher security. This method gained attention after a vulnerability was revealed in some Coldcard hardware wallets, where a faulty firmware RNG (dating back to 2021) compromised generated keys. The analysis notes that while a dice-generated main seed was safe from this specific flaw, other Coldcard functions (like creating paper wallets, backup keys, or passwords) could still be vulnerable if they used the defective RNG. The piece argues that while dice-based entropy is technically robust, the manual process is error-prone, tedious, and unrealistic for most new users, who might make mistakes in recording or inputting rolls. It concludes that while manual entropy generation should remain an option for advanced users, the long-term goal is to develop reliable, user-friendly hardware and software that securely generates randomness without requiring specialized knowledge. Coldcard users are advised to check their firmware version and replace any secondary secrets (like paper wallet keys) created with vulnerable devices, while also considering multi-signature setups with devices from different manufacturers for added security.

cryptonews.ru8 h fa

Thanks to Dice Rolls, Bitcoin Keys Are Stored Offline, But Not Everyone Will Do It

cryptonews.ru8 h fa

Trading

Spot