Coinbase Adds Solana Collateral for $100,000 Onchain Loans

Coinbase added Solana as collateral for its crypto-backed onchain loans, enabling users to borrow up to $100,000 against SOL through the Morpho integration on the Base network. Borrowers can keep their SOL holdings on chain while accessing funds.

Solana joins bitcoin, ether and other tokens already accepted as collateral under the same Morpho-powered facility.

Coinbase launched the crypto-backed lending product last year and expanded availability to the United Kingdom last month. The company said total loan originations since launch reached $2.3 billion.

Bitcoin accounts for the bulk of originations at about $2.17 billion, followed by ether at roughly $110 million. Other collateral totals include XRP at $31.6 million, cbETH $3.34 million, Dogecoin $2.33 million, Cardano $1.8 million and Litecoin about $802,000.

Ben Shen, head of financial services and loyalty products at Coinbase, said, “Adding SOL collateral is a strong step toward making Coinbase the best place to trade and hold Solana, thanks to the ability to get instant liquidity whenever needed.” He added the expansion reflects the company’s effort to increase the utility of assets customers can trade.

In its first-quarter results last week, Coinbase reported a net loss of $394.1 million and reduced its workforce by about 14 percent as part of broader cost and strategy adjustments. CEO Brian Armstrong added he expects eventually “all of finance” will move onchain.

The loan product lets individual users pledge supported crypto as collateral to secure an onchain loan, with funds delivered without requiring a full sale of the underlying asset. Coinbase said the Base network integration and Morpho provide onchain liquidity for borrowers.

Coinbase shares were trading near $205 at the time of the update.