Coinbase has announced the expansion of its crypto-backed lending service to include XRP, Dogecoin, Cardano, and Litecoin, allowing users to borrow up to $100,000 by pledging these tokens, significantly enhancing financing flexibility for users. The newly added tokens come with a maximum loan-to-value ratio of 49%, with liquidation initiated at 62.5%, reflecting their higher price volatility compared to Bitcoin and Ethereum, thus increasing borrowing risks.
At the time of the announcement, the combined market value of ADA, LTC, DOGE, and XRP was approximately $120 billion, allowing Coinbase to tap into a substantial pool of potential borrowers, further driving growth in its lending business. Borrowers can access USDC almost instantly through Coinbase’s website and mobile app, with no fixed repayment schedules, enabling users to manage cash flow flexibly while maintaining their long-term investments.
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