Crypto Exchange Coinbase to Stop New Loans Via Borrow Service

Coinbase Global Inc., the largest US crypto exchange, will stop issuing new loans through a service that lets people borrow using Bitcoin as collateral.

(Bloomberg) — Coinbase Global Inc., the largest US crypto exchange, will stop issuing new loans through a service that lets people borrow using Bitcoin as collateral.

New loans via the service, Coinbase Borrow, will cease effective May 10, the company said in a statement late Wednesday. There is no impact on customers’ outstanding loans, the firm added.

Coinbase Borrow provides loans of as much as $1 million against Bitcoin but only in certain US states. The company is due to report quarterly results on May 4 amid ongoing regulatory uncertainty surrounding the exchange.

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