Coinbase Global Inc. (Nasdaq: COIN) announced on April 20, 2026, the expansion of its USDC-backed lending service to the United Kingdom, following robust demand in the U.S. market. This move extends the on-chain credit solution that has already processed billions in loans, signaling Coinbase's ambition to build a global decentralized lending ecosystem.
Coinbase Brings Crypto-Backed Loans to the UK
Users in the UK can now instantly borrow USDC at competitive floating rates by using Bitcoin (BTC), Ether (ETH), or Coinbase Wrapped Staked ETH (cbETH) as collateral. The funds can be accessed within a minute via the Coinbase app, and borrowers can transfer USDC globally or convert to fiat for everyday expenses. Coinbase One subscribers additionally earn up to 3.5% APY on USDC rewards, boosting the product's appeal.
The lending infrastructure is powered by Morpho, an open-source lending protocol running on Coinbase's Base network. Initially, BTC, ETH, and cbETH are supported, with borrowing limits of up to $5 million for BTC-backed loans, depending on pledged holdings. Coinbase plans to add more eligible collateral assets in the future.
Strong U.S. Adoption Drives Expansion
Since its U.S. debut in January 2025, Coinbase's crypto-backed loans via Morpho have reached a total of over 2.17 billion USDC as of April 14, 2026. The company stated, "Initial interest in the U.S. has been significant, providing a strong foundation for our international expansion." Coinbase confirmed it will continue rolling out the service to more countries in the near term.
In a related development, Coinbase has also integrated XRP, DOGE, ADA, and LTC as collateral, allowing users to borrow up to $100,000 USDC, further diversifying loan options.
Loan Mechanics and Risk Management
Borrowers can monitor loan status, APR fluctuations, and liquidation thresholds directly within the app. Interest rates adjust dynamically based on market activity on Base, and there are no fixed repayment schedules, offering flexibility. The hybrid model combines DeFi efficiency with a compliant, user-friendly interface.
Outlook
This UK launch represents a key step in Coinbase's strategy to replicate its successful U.S. lending product in regulated markets worldwide. As more assets and jurisdictions are added, Coinbase is positioning itself at the forefront of on-chain credit, potentially unlocking new liquidity for crypto holders while boosting USDC adoption globally.