Coinbase announced on November 20, 2025, the rollout of ETH-backed loans for eligible U.S. users excluding New York residents, allowing them to borrow up to $1 million in USDC against their Ethereum holdings without selling the asset.
This feature, powered by the on-chain lending protocol Morpho and deployed on Coinbase’s Base Layer 2 network, integrates seamlessly into the Coinbase app interface while leveraging DeFi infrastructure for execution.
Users deposit ETH as wrapped ETH or WETH to receive USDC instantly. The maximum loan-to-value (LTV) ratio is 75%, with liquidation triggered at 86% to mitigate volatility risks.
No Fixed Repayment: Loans have variable interest rates and no set due date, as long as the LTV remains healthy — ideal for users seeking liquidity for investments, diversification, or expenses without triggering taxable events.
Support for staked ETH converted to Coinbase’s cbETH is coming soon, building on the existing BTC-backed loan product, which recently increased its cap to $5 million.
Coinbase’s overall on-chain lending has already originated over $1.25 billion in loans against $1.38 billion in collateral, with $810 million outstanding across 13,500+ active wallets.
This move deepens Coinbase’s CeDeFi centralized-decentralized finance offerings, bridging traditional borrowing with blockchain assets. It follows the BTC loan launch earlier in 2025 and signals broader asset support ahead, potentially accelerating ETH’s utility in real-world finance.
Community reactions on X highlight excitement around tax-efficient liquidity and DeFi accessibility, with posts noting the “CeDeFi bank” potential.
Polymarket Odds on Monad’s MON Token Opening Below $3B FDV Surpass 50%
Prediction market platform Polymarket has seen the odds for Monad’s upcoming MON token launching with a fully diluted valuation (FDV) below $3 billion exceed 50% as of November 21, 2025.
This threshold crossing reflects growing trader skepticism amid Monad’s public sale hype and pre-market dynamics.
$3B bin shows exactly 50% “Yes” probability for FDV exceeding $3 billion one day post-launch implying 50% chance of below. Broader bins indicate: $2B FDV: ~60-70% “Yes” suggesting ~30-40% below $2B. Public sale commitments: 93% chance of >$300M total, 83% for >$400M, but only 40% for >$600M — hinting at tempered expectations for overall valuation.
The high-performance EVM-compatible Layer 1 chain is running a public token sale on Coinbase, with pre-market trading hitting recent lows. Traders are betting on launch by mid-2026 if not sooner, but volatility in commitments (e.g., arbitrage opportunities across platforms like Kalshi) has pushed lower-FDV outcomes into focus.
X discussions tie this to broader L1 token fatigue, with some viewing the 50%+ odds for sub-$3B as a hedge signal against overvaluation. No airdrop is confirmed yet, but bets on one by November 25 stand at low odds ~10-20%.
These developments underscore crypto’s maturing prediction ecosystem, where platforms like Polymarket aggregate crowd wisdom on tokenomics.
