Coinbase launches USDC on-chain lending feature

ChainCatcher news, cryptocurrency exchange Coinbase has announced the launch of a new feature that allows users to lend their held USDC stablecoins on-chain. This service is supported by the decentralized lending protocol Morpho, and its allocation is managed through on-chain vaults curated on the Ethereum Layer 2 network Base, incubated by Steakhouse Financial.

When users deposit USDC, Coinbase creates a smart contract wallet that routes the funds across different lending pools to optimize returns. Coinbase states that users can start earning yields immediately and can withdraw at any time, depending on liquidity.