Circle said on Sept. 21 that it has rolled out its Digital Asset Backed Borrowing, or DABB, service for eligible Circle Mint LLC customers. The product is currently available on Arc and Ethereum mainnet and is designed to let clients access USDC liquidity without selling their Bitcoin. Under the setup, customers deposit BTC and mint Circle Wrapped Bitcoin, known as cirBTC, then use cirBTC as collateral in supported third-party lending markets to borrow USDC. The borrowed funds are settled directly into a Circle Mint account.
According to Circle, the service combines BTC deposits, cirBTC minting, collateralized borrowing, and USDC settlement into one workflow. Clients keep control of their collateral and can add more collateral or repay loans as needed. Circle said the service currently supports Morpho-related markets and is expected to expand to more lending venues and third-party platforms later. Borrowing rates, collateral requirements, liquidation thresholds, and liquidity conditions depend on the market selected and may change over time.
Circle said on Sept. 21 that it has launched its Digital Asset Backed Borrowing, or DABB, service for eligible Circle Mint LLC customers. The service is currently available on Arc and Ethereum mainnet.
Under the product design, customers can deposit BTC and mint Circle Wrapped Bitcoin, or cirBTC. They can then use cirBTC as collateral in supported third-party lending markets to borrow USDC. The borrowed USDC is deposited directly into a Circle Mint account, allowing clients to access liquidity without selling their BTC.
Circle said DABB brings BTC deposits, cirBTC minting, collateralized borrowing, and USDC settlement into a single workflow. Clients manage their own collateral and can add collateral or repay borrowed funds based on their needs.
The service currently supports Morpho-related markets. Circle said it expects to expand the offering to more lending markets and third-party platforms over time. Borrowing rates, collateral requirements, liquidation thresholds, and liquidity conditions are determined by the selected market and may change.
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