Coinbase has launched a new borrowing feature which allows the eligible U.S. users to borrow upto $1 million in USDC without selling or unstaking their ETH. TheCoinbase has launched a new borrowing feature which allows the eligible U.S. users to borrow upto $1 million in USDC without selling or unstaking their ETH. The

Coinbase Introduces Staked Ethereum Loans, Allowing Users to Borrow Up to $1 Million

2026/01/23 17:21
2 min read
  • Coinbase lets U.S. users borrow up to $1M against staked ETH without selling.
  • Loans risk liquidation if collateral drops below required levels.

Coinbase has launched a new borrowing feature which allows the eligible U.S. users to borrow upto $1 million in USDC without selling or unstaking their ETH. The users can use the new product, cbETH, which is Coinbase’s token that represents the staked ETH as collateral to borrow USDC. This makes users continue earning staking rewards and maintain exposure to ETH’s price movement. 

How Coinbase’s cbETH Borrowing Works

The users who hold the cbETH can deposit it as collateral on the coinbase and can borrow USDC against it. The borrowed USDC can be converted into U.S. dollars directly inside Coinbase. Depending on the collateral, the loans can go upto $1 million. The Loans are Overcollateralized which means the users must deposit more value than they borrow, with the interest changing based on the market conditions. Borrowers can repay part or the full amount of the loan at any time without a fixed repayment date. This lending system is powered by Morpho, an on-chain lending protocol. 

Coinbase warns users to keep their loan-to-value below 86%. If the ETH price falls sharply, then the automatic liquidations will happen, and the borrowers should face the penalties. Because ETH is more volatile, borrowers must carefully manage the risks. 

Staking ETH usually locks the funds for a long period. By allowing the cbETH to be used as collateral, users can keep their Ether exposure and access liquidity without selling during market downturns. This makes the staked Ether more flexible and useful for the long-term holders. 

This launch shows how the crypto platforms are evolving beyond simple buying and selling. Tokenized staking products like cbETH are becoming more popular as investors are looking for ways to avoid locking their capital while still earning yield.

Highlighted Crypto News:

Capital One to Acquire Brex in $5.15B Deal, Expanding Fintech Push     

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

What Is an Uncontested Divorce and How Does It Work?

What Is an Uncontested Divorce and How Does It Work?

Divorce continues to be a common legal matter for families across Washington, reflecting broader shifts in how relationships change over time. Recent statewide
Share
Techbullion2026/02/12 18:08
Google's AP2 protocol has been released. Does encrypted AI still have a chance?

Google's AP2 protocol has been released. Does encrypted AI still have a chance?

Following the MCP and A2A protocols, the AI Agent market has seen another blockbuster arrival: the Agent Payments Protocol (AP2), developed by Google. This will clearly further enhance AI Agents' autonomous multi-tasking capabilities, but the unfortunate reality is that it has little to do with web3AI. Let's take a closer look: What problem does AP2 solve? Simply put, the MCP protocol is like a universal hook, enabling AI agents to connect to various external tools and data sources; A2A is a team collaboration communication protocol that allows multiple AI agents to cooperate with each other to complete complex tasks; AP2 completes the last piece of the puzzle - payment capability. In other words, MCP opens up connectivity, A2A promotes collaboration efficiency, and AP2 achieves value exchange. The arrival of AP2 truly injects "soul" into the autonomous collaboration and task execution of Multi-Agents. Imagine AI Agents connecting Qunar, Meituan, and Didi to complete the booking of flights, hotels, and car rentals, but then getting stuck at the point of "self-payment." What's the point of all that multitasking? So, remember this: AP2 is an extension of MCP+A2A, solving the last mile problem of AI Agent automated execution. What are the technical highlights of AP2? The core innovation of AP2 is the Mandates mechanism, which is divided into real-time authorization mode and delegated authorization mode. Real-time authorization is easy to understand. The AI Agent finds the product and shows it to you. The operation can only be performed after the user signs. Delegated authorization requires the user to set rules in advance, such as only buying the iPhone 17 when the price drops to 5,000. The AI Agent monitors the trigger conditions and executes automatically. The implementation logic is cryptographically signed using Verifiable Credentials (VCs). Users can set complex commission conditions, including price ranges, time limits, and payment method priorities, forming a tamper-proof digital contract. Once signed, the AI Agent executes according to the conditions, with VCs ensuring auditability and security at every step. Of particular note is the "A2A x402" extension, a technical component developed by Google specifically for crypto payments, developed in collaboration with Coinbase and the Ethereum Foundation. This extension enables AI Agents to seamlessly process stablecoins, ETH, and other blockchain assets, supporting native payment scenarios within the Web3 ecosystem. What kind of imagination space can AP2 bring? After analyzing the technical principles, do you think that's it? Yes, in fact, the AP2 is boring when it is disassembled alone. Its real charm lies in connecting and opening up the "MCP+A2A+AP2" technology stack, completely opening up the complete link of AI Agent's autonomous analysis+execution+payment. From now on, AI Agents can open up many application scenarios. For example, AI Agents for stock investment and financial management can help us monitor the market 24/7 and conduct independent transactions. Enterprise procurement AI Agents can automatically replenish and renew without human intervention. AP2's complementary payment capabilities will further expand the penetration of the Agent-to-Agent economy into more scenarios. Google obviously understands that after the technical framework is established, the ecological implementation must be relied upon, so it has brought in more than 60 partners to develop it, almost covering the entire payment and business ecosystem. Interestingly, it also involves major Crypto players such as Ethereum, Coinbase, MetaMask, and Sui. Combined with the current trend of currency and stock integration, the imagination space has been doubled. Is web3 AI really dead? Not entirely. Google's AP2 looks complete, but it only achieves technical compatibility with Crypto payments. It can only be regarded as an extension of the traditional authorization framework and belongs to the category of automated execution. There is a "paradigm" difference between it and the autonomous asset management pursued by pure Crypto native solutions. The Crypto-native solutions under exploration are taking the "decentralized custody + on-chain verification" route, including AI Agent autonomous asset management, AI Agent autonomous transactions (DeFAI), AI Agent digital identity and on-chain reputation system (ERC-8004...), AI Agent on-chain governance DAO framework, AI Agent NPC and digital avatars, and many other interesting and fun directions. Ultimately, once users get used to AI Agent payments in traditional fields, their acceptance of AI Agents autonomously owning digital assets will also increase. And for those scenarios that AP2 cannot reach, such as anonymous transactions, censorship-resistant payments, and decentralized asset management, there will always be a time for crypto-native solutions to show their strength? The two are more likely to be complementary rather than competitive, but to be honest, the key technological advancements behind AI Agents currently all come from web2AI, and web3AI still needs to keep up the good work!
Share
PANews2025/09/18 07:00
The FRS 102 Deadline Is Accelerating Finance Modernisation Across the UK

The FRS 102 Deadline Is Accelerating Finance Modernisation Across the UK

By Artie Minson, CEO of Trullion Every major change in accounting standards presents finance leaders […] The post The FRS 102 Deadline Is Accelerating Finance Modernisation
Share
ffnews2026/02/12 18:43