Expanding USDC Rewards: Coinbase Brings Morpho Onchain Lending to Brazil
Crypto exchange Coinbase has announced the expansion of its Morpho onchain lending protocol-powered DeFi Earn product to eligible customers in Brazil. This move enables users to earn more rewards on their USDC stablecoin holdings without the need for a lock-up period. The product's availability will expand over the coming days, allowing users to access lending features through the Lending tab on their Coinbase app.
Deepening Utility for Brazilian Users
According to an official announcement, Coinbase plans to deepen the utility for Brazilian users by putting idle USDC to work. The company aims to connect users more closely to its broader Everything Exchange vision. This expansion reflects Coinbase's efforts to make users' assets work harder for them, alongside staking and USDC Rewards as pathways for users to build their wealth.
Regional Managing Director for the Americas at Coinbase, Fabio Plein, stated that the goal is to make users' assets work harder for them, alongside staking and USDC Rewards as pathways for users to build their wealth and become more connected to the Everything Exchange.
How Morpho Onchain Lending Works
The Morpho onchain lending protocol enables users to lend their USDC stablecoins to borrowers, earning rewards in the process. The USDC accrues rewards in an audited vault curated by Steakhouse Financial. Users can withdraw their USDC stablecoin rewards at any time, as there is no lock-up period. Rates are market-driven and change with onchain supply and demand.
Coinbase One subscribers receive a boosted rate where available, providing an added incentive for users to participate in the lending program.
Massive Adoption in the US
Since the launch of Coinbase's Earn product in the US, it has seen massive adoption, reaching nearly $500 million USD in total supply and offering up to 7.4% APY. The product has become one of the fastest-growing ways customers put USDC to work.
Separate from USDC Rewards Program
The onchain lending path is separate from Coinbase's standard USDC Rewards program. This creates a two-sided market in which lenders supply liquidity that borrowers use against crypto collateral.
What's Next?
As decentralized finance lending platforms continue to dominate, it will be interesting to see how Coinbase's expansion of Morpho onchain lending to Brazil affects the market. The company's efforts to deepen USDC utility for Brazilian customers and connect them more closely to its broader Everything Exchange vision are likely to have a significant impact on the crypto landscape.
Additionally, the expansion of onchain lending to Brazil may pave the way for further adoption of decentralized finance lending platforms in the region. As the market continues to evolve, it will be essential to monitor the impact of this expansion and its potential implications for the broader crypto ecosystem.
Related Developments
Visa has also been pushing onchain lending deeper into everyday payments, combining its settlement data with blockchain credit infrastructure to enable stablecoin-linked card issuers and fintechs to tap working capital as they scale.
For those interested in exploring decentralized finance lending platforms, we recommend checking out the Best DeFi Lending Platforms in 2026 for more information.