Coinbase To Wind Down Lending Program Over Coming Months

According to the exchange, Customers of Coinbase Borrow who have unpaid loan balances must do so by November 20.

A spokesperson for the company said on Thursday. As the company concentrates its resources on the products that “customers care about most,” Coinbase Borrow, a program that lets users receive ruling loans of up to $1 million against as much as 30 percent  of their Bitcoin (BTC) holdings, will be concluded over the coming months, 

Customers with loans under the schedule have until November 20, 2023, to repay any remaining loan sums.

According to a statement given to CoinDesk, They alerted impacted loan holders and are taking extra measures to ensure a seamless transition for them. These measures include giving them a four-month loan repayment period and access to priority customer service through Coinbase One. The monthly subscription service Coinbase One offers traders several advantages.

As part of a routine process of reviewing its offerings, Coinbase stated in May that it would no longer allow Coinbase Borrow customers to get new loans.

The Securities and Exchange Commission (SEC) has been closely observing the California-based exchange’s operations in the United States, so it has been focusing more on its operations abroad.

Back in May, a representative explained to CoinDesk that Coinbase Borrow’s closure was merely the result of decreased demand.