Coinbase, the largest cryptocurrency exchange in the US, has made a new announcement regarding Ethereum (ETH).
Accordingly, Coinbase has launched a new lending feature that allows investors to obtain cash without selling or destaking their ETH.
Coinbase has introduced a lending feature that allows eligible US customers (excluding New York) to borrow USDC in exchange for cbETH without selling their ETH or maintaining their staked ETH positions.
With this move, Coinbase enables cbETH-backed lending, allowing users to borrow up to $1 million using cbETH as collateral.
In this configuration, users can borrow USDC in exchange for the cbETH they hold on the platform and convert it to dollars within Coinbase.
“You’ve staked your ETH, but do you need liquidity?”
No problem. You can now access up to $1 million in liquidity without withdrawing or selling your cbETH.
Loans are backed by Morpho, an on-chain lending protocol, while interest rates are variable and dependent on market conditions. Borrowers can repay at any time without a specific payment schedule or due date. However, borrowers are required to keep their loan-to-value ratio below 86 percent to avoid automatic liquidation.
*This is not investment advice.
