Coinbase to Close its Loan Services
Coinbase to Close its Loan Service, Coinbase Borrow, Amid Increased Regulatory Scrutiny
Coinbase is closing down Coinbase Borrow, a program that allows users to borrow cash against their bitcoin. This decision is to focus more on products that customers use most, a spokesperson said.
Existing loans need to be repaid by November 20, 2023. Coinbase has informed those customers and is working to make the transition easy. This includes a four-month repayment period and prioritized customer support.
No new loans have been allowed since May, as part of the company's regular review of its products. This decision to close down Coinbase Borrow comes as the company faces increased attention from U.S. regulators, such as the Securities and Exchange Commission (SEC).
