Did You Know? Coinbase's $1.5B+ Lending Service is Just... a Morpho Market
You've probably seen that Coinbase now offers crypto-backed loans to its users. But did you know how it works?
It's not a private, off-chain system running on a Coinbase server.
That entire, billion-dollar-plus lending service is just a permissionless Morpho Blue market running on the public Base blockchain.
Here is the "on-chain" breakdown:
A Coinbase customer wants a loan against their Bitcoin.
Coinbase takes their BTC and wraps it into cbBTC (Coinbase Wrapped BTC).
It then deposits that cbBTC as collateral into a public, permissionless Morpho Blue market on Base.
The customer instantly receives their USDC loan from that market.
Why this is a bombshell:
This is the single greatest institutional adoption of DeFi, ever. Coinbase, one of the world's largest, most-regulated exchanges, didn't build a walled garden. They chose to build their flagship lending product on top of an open, immutable, and decentralized protocol.
It's the ultimate proof of trust in Morpho's security and efficiency.
Call to Action (CTA):
What does it mean for DeFi when a giant like Coinbase decides to build on a public protocol instead of competing with it? Is this the future? 👇
@Morpho Labs 🦋 #Morpho $MORPHO
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