Coinbase Launches Fixed-Rate, Fixed-Term USDC Loans Collateralized by Bitcoin

Coinbase has introduced fixed-rate, fixed-term USDC loans collateralized by Bitcoin through Morpho Midnight, allowing borrowers to access liquidity without selling their assets. The interest rate and repayment schedule are set at the start of the loan, with the risk of Bitcoin liquidation if the borrower fails to repay the USDC and interest by the maturity date. Coinbase currently manages over $1.4 billion in active or outstanding loans through its existing floating-rate Bitcoin-collateralized lending product, backed by approximately $3 billion in collateral.