Circle’s USDC Lending Nears $2B as Coinbase Adds XRP and DOGE
Coinbase’s crypto-backed lending service adds support for XRP, Dogecoin, Cardano and Litecoin, letting U.S. users borrow up to $100,000 in USDC and driving originations toward $2 billion, which could boost demand for Circle’s stablecoin. SoftBank added to its Circle Internet stake in Q4, signaling institutional confidence in USDC’s growth.
1. Lending Product Expansion
Coinbase expanded its crypto-backed USDC lending to support XRP, Dogecoin, Cardano and Litecoin, enabling U.S. customers (excluding New York) to borrow up to $100,000 per account through the Morpho protocol. This extension builds on earlier Bitcoin and Ethereum offerings and pushes Circle’s USDC loan originations toward $2 billion, potentially increasing stablecoin circulation.
2. SoftBank’s Q4 Stake Acquisition
In the fourth quarter, SoftBank purchased additional shares in Circle Internet as part of a broader portfolio reshuffle that included new positions in Twenty One Capital and eToro and the sale of its NVIDIA stake. The move underscores institutional belief in Circle’s USDC-driven lending model and aligns with SoftBank’s strategic pivot toward fintech and AI-related assets.