Citing BitcoinWorld, Coinbase has launched a new ETH-backed loans program in partnership with Morpho’s lending protocol on the Base network. Users can now secure loans of up to $1 million by using their Ethereum holdings as collateral, allowing them to access liquidity without selling their assets. The program enables investors to borrow USDC stablecoins while maintaining their ETH positions, leveraging the speed and lower fees of the Base network. The system uses smart contracts to automate the lending process, offering tax efficiency, immediate liquidity, and competitive rates. However, users must manage risks such as market volatility and potential liquidation if ETH prices fall significantly. The initiative is expected to expand the use of crypto-backed lending and could pave the way for further innovation in the space.
Coinbase Launches $1M ETH-Backed Loans via Morpho on Base Network
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