Bitcoin-Backed Loans: Coinbase Paving the Future of Finance
Main Points: 1. Coinbase’s Innovative On-Chain Loan Service In January 2025, Coinbase, the renowned U.S.-based cryptocurrency exchange, introduced an innovative financial service that allows users to secure loans by putting their Bitcoin holdings as collateral. This service, known as an on-chain loan, enables borrowers to receive fiat currency while retaining exposure to Bitcoin’s potential future gains. As traditional banks often involve lengthy approval processes and intrusive credit checks, this decentralized