{"id":543731,"date":"2023-07-21T16:30:47","date_gmt":"2023-07-21T16:30:47","guid":{"rendered":"https:\/\/ktsl888.com\/?p=543731"},"modified":"2023-07-21T16:09:33","modified_gmt":"2023-07-21T16:09:33","slug":"coinbase-borrowers-have-four-months-to-pay-back","status":"publish","type":"post","link":"https:\/\/ktsl888.com\/news\/coinbase\/coinbase-borrowers-have-four-months-to-pay-back\/","title":{"rendered":"Coinbase Exchange Tells Borrowers That They Have Four Months To Pay Back"},"content":{"rendered":"
Coinbase, America’s largest crypto exchange, is winding down its Borrow program and has given borrowers four months to repay their loans.\u00a0<\/span><\/p>\n The Coinbase Borrow program allowed eligible Coinbase customers in certain US states to borrow up to $1 million worth of US dollars by putting up bitcoin or other cryptocurrencies as collateral.\u00a0<\/span><\/p>\n Many saw Coinbase Borrow as an easy way to access cash without selling their crypto holdings. Unfortunately, the crypto exchange recently announced it is shutting down the program. Current borrowers have four months left to repay any outstanding loan balances before the program closes for good.\u00a0<\/span><\/p>\n According to a company <\/span>blog post<\/span><\/a>, the update will only affect customers with existing loans with due dates after November 20, 2023.\u00a0 After this date, all accounts that still have outstanding loans will be paid off by selling enough BTC collateral to cover the full amount of any outstanding debt.\u00a0<\/span><\/p>\n The exchange initially charges a 2% liquidation fee for borrowers who are unable to pay up their loans before the due date. However, the exchange said the liquidation fee is going to be waived in this case.<\/span><\/p>\n <\/p>\n The closure of Coinbase Borrow was first touted two months ago. In early May, Coinbase announced May 10 as the final day customers can take out new loans through the program.<\/span><\/p>\n Launched in November 2021 during the height of the crypto bull run, Coinbase’s borrow program was advertised as a way to get fiat loans quickly without needing to sell bitcoin. With the entire cryptocurrency market now in calmer waters, it seems the borrow program isn’t gaining as much traction as hoped. According to Coinbase, it is making the decision in order to focus on other products. “the offerings that our customers care about most.”<\/span><\/p>\n \u201cWe regularly evaluate our products to ensure we\u2019re prioritizing the offerings that our customers care about most. After much consideration, we have made the decision to wind down Coinbase Borrow,\u201d the blog post read.<\/span><\/p>\nCoinbase To Shut Down Borrow Program<\/span><\/h2>\n
COIN price sitting at $102 | Source: Coinbase Global, Inc. on Tradingview.com<\/a><\/pre>\n
Why Is The Exchange Shutting Down The Program?<\/span><\/h2>\n