Coinbase has launched a new cryptocurrency-backed loan product in the UK, allowing users to borrow USDC stablecoins by collateralizing Bitcoin, Ethereum, and cbETH holdings. This service enables UK crypto holders to access funds without selling their assets, thus avoiding capital gains tax. The product, which provides funds in under a minute, is part of Coinbase's expansion following its FCA registration in February 2025.
The launch marks Coinbase's first international expansion of its USDC lending product, previously available in the U.S. since January 2025. This move comes as the UK crypto lending market seeks stability after the exit of Nexo and the collapse of Celsius. Coinbase's regulated offering aims to fill the gap left by unregulated lenders, providing a compliant and secure option for UK users.
Coinbase Introduces USDC Lending in UK, Offering Tax-Free Borrowing
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