Coinbase Partners with Morpho to Launch Bitcoin-Backed Loans
Coinbase has partnered with Morpho to enable USDC loans against bitcoin held on Coinbase, excluding New York users. The initiative indicates a shift in the market.
Key points:
- Users can borrow USDC using bitcoin as collateral.
- Morpho's capability to securely manage collateral raises trust concerns among borrowers.
- There is significant demand for this product, according to Coinbase's VP of Product, Max Branzburg.
- Morpho was chosen for its well-audited and secure protocols.
- Future integrations with other projects on Base are being considered.
- Branzburg highlighted that this offering focuses on bitcoin initially, with plans to expand to other assets over time.
This move by Coinbase emphasizes its commitment to onchain finance, potentially enhancing user experience by simplifying complex processes associated with borrowing.