Bitcoin-backed loans on Coinbase have surpassed $1 billion in collateral, reflecting growing adoption of borrowing against Bitcoin holdings rather than selling them amid near all-time high prices. Since January 2025, approximately $450 million in active loans have been issued under Coinbase’s BTC-backed loan program. This lending activity is supported by decentralized finance infrastructure, with Spark providing over $600 million in USDC liquidity through partnerships with Morpho Labs and Coinbase. Coinbase’s tokenized Bitcoin supply (cbBTC) has also exceeded $6 billion. Institutional investors are increasingly leveraging Bitcoin in this manner. Additionally, peer-to-peer Bitcoin-backed loan platforms like Hodl Hodl emphasize non-custodial, bank-free lending options, highlighting a broader trend in the crypto lending ecosystem. Projects such as Votre and BNKR, the latter recently listed on Coinbase, are contributing to the development of innovative Bitcoin-backed lending products on blockchain networks like Base.