Coinbase has launched a USDC lending product that enables customers to earn yield from their deposits. This feature, powered by the DeFi protocol Morpho and managed by Steakhouse Financial, allows users to earn interest from their deposits while facilitating the exchange’s crypto-backed loan services. Customers' USDC is lent out to borrowers, including those utilizing Coinbase’s existing loan options secured by bitcoin. This initiative represents Coinbase's first comprehensive on-chain lending and borrowing ecosystem, fostering a mutually reinforcing relationship between lending and borrowing services. Users can withdraw their deposits anytime without lock-ups, creating a flexible investment opportunity.

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