Finance
Share this article

Coinbase Users Can Borrow Up to $1M With Bitcoin as Collateral

The crypto exchange’s customers can obtain cash via their PayPal or bank accounts.

By Michael Bellusci
Updated May 11, 2023, 5:49 p.m. Published Nov 3, 2021, 5:25 p.m. 1 min read
Coinbase Posts $1.9B in Q2 Transaction Revenue, Beating Estimates
Coinbase Posts $1.9B in Q2 Transaction Revenue, Beating Estimates

Cryptocurrency exchange Coinbase is now allowing customers to borrow as much as 40% of their bitcoin value up to $1 million with no credit checks, the company tweeted on Tuesday.

  • The borrowing minimum and maximum amounts may vary by state, Coinbase added.
  • The loans will be issued with an annual percentage rate of 8%, and borrowers won’t be required to show credit checks, Coinbase said.
  • Customers can obtain the cash using their PayPal or bank accounts. They will need to make minimum $10 monthly interest payments, and Coinbase is offering flexible repayment schedules.
  • Coinbase said that it won’t lend or otherwise use the collateralized bitcoin but instead continue to hold it.
  • Earlier this year, Coinbase dropped plans for a crypto lending product after the U.S. Securities and Exchange Commission raised concerns. The lending product was supposed to power a crypto savings account that would earn customers a 4% annual percentage yield (APY), a return that’s multiples higher than most savings accounts at traditional banks.


CoinbaseBitcoin NewsLending

More For You

Crypto trading firm FalconX confidentially files with SEC for IPO, hires bankers

By Will Canny|Edited by Aoyon Ashraf
19 hours ago
FalconX CEO Raghu Yarlagadda (FalconX)

FalconX has hired Cantor and other bankers to advise on a potential IPO and confidentially filed draft paperwork with the SEC, though the listing is not expected until later this year amid volatile market conditions.

What to know:

  • FalconX has confidentially filed a draft S-1 with the SEC and hired Cantor to advise on a potential IPO, according to a source.
  • The crypto prime broker, last valued at $8 billion in 2022, serves institutional clients including hedge funds, asset managers and market makers.
  • Cooling investor sentiment, weaker trading...
Read full story