Circle Launches Bitcoin-Collateralized USDC Borrowing for Institutions

Circle (Circle) has introduced Digital Asset-Backed Borrowing (DABB), allowing institutional clients of Circle Mint to borrow USDC by collateralizing Bitcoin. Users deposit BTC to mint cirBTC, which is then supplied to third-party lending protocols such as Morpho to secure USDC loans. The service is available on Ethereum and Circle's Arc blockchain, with plans to expand to other protocols like Aave. The service is not available to individual users or customers in New York.