PANews reported on January 16 that according to DL News, Coinbase is re-offering Bitcoin loans to US users. The new cryptocurrency-backed loans are available to US customers (except New York State) and will be available in other jurisdictions over time. Coinbase said that its new cryptocurrency-backed loans are different from previous products. The exchange itself does not provide loan services, it is just a middleman. The business is powered by the DeFi lending protocol Morpho.

Max Branzburg, Coinbase vice president of product, said that when users borrow USDC with Bitcoin, their collateral is automatically converted into cbBTC and transferred to the Morpho protocol.