Coinbase Launches Crypto Collateralized Lending in the UK: Supports BTC, ETH Collateral for Borrowing USDC

BlockBeats News, April 20 — Coinbase announced the launch of its crypto collateralized lending service in the UK, allowing users to use BTC, ETH, or cbETH as collateral to borrow USDC within one minute, providing liquidity without selling their holdings. The product is based on the decentralized lending protocol Morpho deployed on the Base network. Currently supported collateral assets include BTC, ETH, and cbETH. The lending interest rate is a floating rate, dynamically adjusted by the protocol based on market conditions. Users can repay at any time, with no fixed term. According to the official statement, the service has already made progress in the U.S. market. As of mid-April 2026, the loan volume issued through Morpho has exceeded 2.17 billion USDC. The UK launch marks an important step in its international expansion, with plans to extend to more countries and collateral asset types in the future. Additionally, Coinbase One members can earn up to 3.5% USDC rewards. The platform warns that if the collateral ratio reaches the liquidation threshold, the related assets will be automatically liquidated to repay the loan.