Coinbase has released a new platform that they intend institutions in the US to use. This new crypto lending platform will operate similarly to Coinbase Barrow and will be able to lend to clients. Coinbase Barrow itself stopped giving out loans a few months ago, in May.
Investors in large US institutions will be able to use the services of this new platform. Seemingly, other crypto lending companies have failed miserably. Thus, Coinbase hopes that it will be able to fill in this space and take advantage of a possible new field. This could really help establish a brand-new crypto market. Among these services, Coinbase also offers a crypto staking platform.
It has made this new platform part of its original Coinbase Prime service. A Coinbase official recently confirmed this. Therefore, those institutions already using the Coinbase Prime service will have access to brand-new options on the platform. Furthermore, they will be able to get loans in a number of cryptocurrencies using a regulated model.
More About Coinbase’s New Crypto Lending Platform
The platform already seems to have succeeded somewhat. The SEC in the US has already made reports on its progress and performance. Sales started on the 28th of August, and they reached 5 total investors by the 1st of September. We should keep in mind that these investors will come from institutions that work with a huge amount of liquidity. So every single investor can make a large impact. It thus appears that these customers have already made an investment worth around $57 million. Hopefully, this service will allow them to take advantage of any crypto bull run.
Coinbase has been trying to overturn the traditional financial system from the previous century. They want a new financial system suitable for the 21st-century world. This is all a part of this plan. So, they believe this crypto lending platform will give people greater freedom in using their money.
