Coinbase Rolls Out Fixed-Rate Bitcoin Loans via Morpho Midnight

Coinbase users can now take out bitcoin-backed USDC loans at a fixed rate, so borrowers know their total interest bill and due date on day one. The product runs on Morpho Midnight, the lending protocol's fixed-term engine, on Base.

What’s the Scoop?

• Fixed vs. floating: Coinbase's existing Morpho loans float, so costs can climb when borrowing demand spikes. The new option sits alongside them for borrowers who want to know exactly what they'll owe and when.

• Midnight mainstream: Coinbase is the largest app to plug into Midnight so far. Morpho CEO Paul Frambot cast it as the start of a scaling phase, with more loan types coming to fintech-style front ends built on DeFi.

• Borrow for builders: Separately, Coinbase Developer Platform unveiled Borrow for CDP Wallets, which lets third-party apps offer crypto-backed USDC loans on Morpho Blue. Launch collateral includes cbBTC, cbETH, cbXRP, and SOL, and developers can charge their own origination fee.