Coinbase Launches Crypto-Backed USDC Loans For UK Users In Latest Expansion

bitcoinistPublicado em 2026-04-21Última atualização em 2026-04-21

Resumo

Coinbase has expanded its crypto-backed USDC lending service to UK residents, allowing them to use Bitcoin (BTC), Ethereum (ETH), and Coinbase Wrapped Staked Ether (cbETH) as collateral. Powered by the on-chain protocol Morpho on the Base network, the service enables users to borrow up to $5 million in USDC without selling their crypto holdings. Collateral is locked in a smart contract until the loan is repaid, with liquidation triggered if the loan-to-value ratio exceeds a threshold. This follows the service’s successful US launch, where originations surpassed $2.17 billion. The move is part of Coinbase’s broader expansion in the UK, including savings accounts and DEX trading, and aligns with its efforts to integrate crypto into traditional finance, such as recently offering crypto-backed mortgages.

Building on its US success, crypto exchange Coinbase has rolled out crypto-backed USDC loans for UK residents, using Bitcoin (BTC) and Ethereum (ETH) as collateral. This expands the exchange’s growing suite of financial services in the region.

Crypto-Backed Loans Cross The Pond

On Monday, Coinbase, the largest crypto exchange in the US, announced that it has expanded its Borrow product to UK residents, unlocking more liquidity for users without having to sell their crypto holdings.

UK customers can now instantly borrow USDC using their Bitcoin, Ethereum, and Coinbase Wrapped Staked Ether (cbETH) as collateral, powered by Morpho, an on-chain protocol on the Base network.

Notably, Coinbase users will be able to borrow up to $5 million in USDC for Bitcoin-backed loans, depending on the amount of BTC pledged as collateral, the announcement explained.

The crypto exchange stated that collateral will be locked in a Morpho smart contract until the loan is fully repaid, and there is no fixed repayment schedule. However, it will be liquidated to repay the loan if the loan-to-value ratio exceeds a certain threshold, and Morpho will charge a liquidation penalty fee.

According to the Monday announcement, the launch expands access to the exchange’s crypto-backed lending service, which has seen multi-billion-dollar demand since launch in the US last year.

Providing access to crypto-backed loans in the UK is the first step in Coinbase’s ongoing efforts to expand following the launch of this offering in the US in January 2025. Initial interest in the service in the US has been substantial with total loan originations through Coinbase on Morpho growing to over $2.17B USDC as of April 14, 2026. Coinbase plans to continue expanding access to crypto-backed loans in more countries in the near future.

It also marks another step in Coinbase’s efforts to build a broader lineup of financial products in the country, following its successful registration as a crypto service provider by the Financial Conduct Authority (FCA) in February 2025. The exchange also launched savings accounts in the UK and DEX trading in November 2025 and April 2026, respectively.

Coinbase Expansion Continues

Coinbase’s latest launch also follows the company’s recent push to expand crypto-backed lending in traditional finance use cases. As reported by Bitcoinist, the exchange and Better Home & Finance launched a joint mortgage product for prospective home buyers to use their crypto holdings as collateral to fund their down payments on a Fannie Mae‐backed loan.

Per the announcement, the product aims to create a “direct pathway from digital wealth to homeownership” by allowing users to pledge Bitcoin and USDC held in a Coinbase account to secure a separate loan for their down payment.

Earlier this month, the exchange also achieved a crucial milestone in the US after receiving key approval that may unlock a broader market for the company. On April 2, Coinbase secured conditional approval from the Office of the Comptroller of the Currency (OCC), the main banking regulator, to charter Coinbase National Trust Company.

Although the company will not become a commercial bank and will not take retail deposits or engage in fractional reserve banking, the exchange noted the conditional approval marked a major step toward becoming a federally regulated crypto custodian, as it will allow Coinbase to “build the next chapter of finance,” boosted by the regulatory confidence.

The total crypto market capitalization is at $2.52 trillion in the one-week chart. Source: TOTAL on TradingView

Perguntas relacionadas

QWhat new service has Coinbase launched for UK users and which cryptocurrencies can be used as collateral?

ACoinbase has launched crypto-backed USDC loans for UK users, allowing them to use Bitcoin (BTC), Ethereum (ETH), and Coinbase Wrapped Staked Ether (cbETH) as collateral.

QWhat is the maximum loan amount a user can borrow for a Bitcoin-backed loan and what determines this amount?

AUsers can borrow up to $5 million in USDC for a Bitcoin-backed loan, with the specific amount depending on the value of the BTC pledged as collateral.

QWhich on-chain protocol powers this new lending service and what happens to the collateral if the loan-to-value ratio is exceeded?

AThe service is powered by the Morpho protocol on the Base network. If the loan-to-value ratio exceeds a certain threshold, the collateral will be liquidated to repay the loan, and a liquidation penalty fee will be charged.

QWhat was the total value of loan originations through Coinbase on Morpho in the US as of April 14, 2026?

AThe total loan originations through Coinbase on Morpho in the US grew to over $2.17 billion USDC as of April 14, 2026.

QWhat recent regulatory approval did Coinbase receive in the article mentions as a crucial milestone for its expansion?

ACoinbase received conditional approval from the Office of the Comptroller of the Currency (OCC) to charter Coinbase National Trust Company, a major step toward becoming a federally regulated crypto custodian.

Leituras Relacionadas

The Value Distribution of Stablecoins

**Summary: The Value Distribution of Stablecoins** The article argues that stablecoins are evolving from mere trading tools into broader channels for dollar access. It divides the stablecoin ecosystem into four layers to analyze how value is distributed: 1. **Issuance Layer:** Mints stablecoins, holds reserve assets, and captures the spread between reserve yield and user costs (e.g., Tether, Circle). This layer currently earns the largest profit margin. 2. **Infrastructure Layer:** Connects stablecoins to the traditional financial system, handling fiat on/off-ramps, banking integration, compliance (KYC/AML), and asset management (e.g., Bridge, BVNK). This is the "unglamorous" but critical work, building the essential bridges between crypto and real-world finance. 3. **Acquiring/Distribution Layer:** Integrates stablecoins into merchant systems, manages payment flows, and provides enterprise financial software (e.g., Stripe, Coinbase). They act as the access point for businesses. 4. **Application Layer:** The end-users and businesses that ultimately use stablecoins for payments, settlements, or as a store of value. They benefit from convenience but have little pricing power. The core thesis is that while the issuance layer currently dominates profits, the often-overlooked **infrastructure layer holds significant long-term potential**. The real challenge and barrier to mass adoption is not the on-chain transfer of stablecoins (which is simple), but the complex "last mile" integration into existing business workflows, banking systems, and regulatory frameworks across different countries. Companies in this layer are currently in a "land grab" phase, investing heavily to build networks, secure bank partnerships, and establish compliance pathways. While their position is currently pressured by the profitable issuers above and distribution platforms below, the article suggests that if stablecoins become a default financial rail for businesses, the infrastructure providers who have done the hard work of integration will ultimately gain strong pricing power and become entrenched, essential players.

marsbitHá 4h

The Value Distribution of Stablecoins

The Value Distribution of Stablecoins The article argues that stablecoins are evolving from a mere trading tool into a broad "dollar channel." It analyzes the industry's value chain through four layers: 1. **Issuance Layer (e.g., Tether, Circle):** The top layer that mints stablecoins, holds reserve assets, and captures the thickest interest rate spread. 2. **Infrastructure Layer (e.g., Bridge, BVNK):** Connects stablecoins to the traditional financial system, handling critical but complex "dirty work" like fiat on/off-ramps, banking integration, compliance (KYC/AML), and cross-border settlement. 3. **Acquiring/Distribution Layer (e.g., Stripe, Coinbase):** Embeds stablecoins into merchant systems, manages payment flows, and integrates with enterprise software. 4. **Application Layer:** End-users and businesses that ultimately use stablecoins for payments, settlement, or storing value. The author posits that while the issuance layer currently captures the most profit, the most overlooked and potentially critical layer is infrastructure. The core challenge for stablecoin adoption isn't the on-chain transfer (which is simple), but bridging the gap between blockchain and the real-world financial system. This involves solving practical problems for businesses: fiat conversion, reconciliation, tax handling, and user onboarding. Infrastructure companies are currently in a difficult "land-grab" phase—building networks, securing banking relationships, and achieving compliance country-by-country. They face pressure from both the profitable issuance layer above and distribution platforms below. However, the author suggests this layer is building a crucial moat. Once stablecoins become a default business rail, the infrastructure players who have done the hard work of integration may gain significant, durable value and pricing power.

链捕手Há 4h

Why Is Nvidia Borrowing $20 Billion When It's Not Short of Cash?

Nvidia's recent announcement to issue at least $20 billion in senior notes, despite holding a strong cash position with over $48.6 billion in free cash flow last quarter, is not a sign of financial need. Instead, it represents a strategic move to leverage its high credit rating (recently upgraded to AA by S&P) to secure low-cost, long-term debt. This capital will support long-term AI infrastructure investments, data centers, R&D, supply chain prepayments, and strategic investments, while allowing the company to continue aggressive shareholder returns through stock buybacks and dividends. The decision reflects a mature capital management strategy: using debt to finance long-term growth assets is more efficient and less dilutive to shareholders than equity financing. It signals that Nvidia, like other tech giants (Alphabet, Meta, Amazon), is entering a new phase of heavy AI capital expenditure, shifting from a pure growth story to a story about capital allocation, credit strength, and long-term ecosystem positioning. The key question for investors is whether Nvidia can maintain its high cash flow generation and ensure that returns from these AI investments justify the cost of capital over the long term. The bond issuance amplifies its expansion capabilities but also ties its valuation more closely to the broader AI investment cycle's sustainability and profitability.

marsbitHá 4h

Why Is Nvidia Borrowing $20 Billion When It's Not Short of Cash?

marsbitHá 4h

Liberland Fires Tech Secretary After Alleged Blockchain And Website Takeover Attempt

Liberland's congress has voted to remove Technology Secretary Dorian Stern Vukotić, following a resolution accusing him of attempting to hijack the Liberland.org domain, removing administrative multisig protections, blocking the president from voting, and launching unauthorized tokens. The incident serves as a case study in blockchain governance, highlighting risks that go beyond smart contracts to include control over domains, admin keys, and off-chain authority. For the crypto industry, it underscores the need to scrutinize decentralization claims against operational realities, where a small group can still compromise governance. The story reflects a broader market shift where infrastructure security and governance are becoming as critical as price action. Editorial framing should treat the development as a verified information signal about governance risks, avoiding overstatement of Liberland's legal status and leaving room for follow-up evidence.

bitcoinistHá 5h

Liberland Fires Tech Secretary After Alleged Blockchain And Website Takeover Attempt

bitcoinistHá 5h

How to Do Research Well: Deliberately Practice the Real Skills That Matter

No one truly teaches you how to do research. You're often given a desk, a pre-selected problem, and vague instructions to "create something new." Consequently, many people reverse-engineer the job based on visible outputs—papers, posts, announcements—learning only how to *appear* like a researcher rather than how to *become* one. True research capability is built from stacking small, trainable skills, nearly all of which can be developed through deliberate practice. **Pick Your Own Problem:** Most researchers absorb problems from advisors or trends, lacking the underlying reasoning. Choosing a problem you genuinely care about, as John Schulman advises, leads to original work. Develop "taste" like a muscle: predict experiment outcomes, guess paper results from methods, and track which findings remain important over time. **Upgrade Your Inputs:** Relying on shared reading lists (arXiv hot lists, filtered group chats) leads to unoriginal conclusions. Undervalued old literature often holds crucial insights (e.g., MoE, LSTM, backpropagation). Richard Sutton's "The Bitter Lesson" or Claude Shannon's 1952 talk on creative thinking are more predictive than lengthy modern surveys. Breadth matters as much as depth: draw from neuroscience, mechanism design, hardware knowledge, and honest statistics. Read papers directly, especially appendices and limitations sections. **Write Everything Down:** As Paul Graham noted, writing exposes flaws in seemingly mature ideas. Writing is the cheapest defense against self-deception. Following Feynman's principle, Darwin programmatically wrote down facts contradicting his theory to combat memory bias. Maintain a detailed log of hypotheses, setups, predictions, results, and updated understandings. Reviewing past logs fosters essential humility.

marsbitHá 6h

How to Do Research Well: Deliberately Practice the Real Skills That Matter

marsbitHá 6h

Trading

Spot

Futuros