Coinbase Shares Surge as BTC Loans Top $1B and Stablecoin Law Boosts Confidence
Coinbase (NASDAQ: COIN) this week later than the crypto platform announced its BTC-backed lending program had surpassed $1 billion in originations, while momentum from newly passed U.S. stablecoin legislation continued to fuel investor confidence.
The stock rose as much as 25.68% between September 26 and now, trading near $376, making it one of the top gainers among large-cap tech and finance names. In fact, analysis shows that it last reached this level on July 31, 2025.
The recent rally, FinanceFeeds analysis shows, is due to Coinbase’s ability to capitalize on two quick-growing areas of the digital asset economy: on-chain credit markets and regulated stablecoins.
BTC Loans Cross $1 Billion
Launched less than a year ago, Coinbase’s lending program allows customers to borrow U.S. dollar–pegged stablecoins using BTC as collateral.
The average loan size is about $54,000, with borrowing limits set to expand from $1 million to $5 million per customer as demand rises.
The initiative, powered by on-chain lending infrastructure provider Morpho, gives users liquidity without forcing them to trade their BTC.
The milestone highlights growing appetite for collateralized crypto credit among both retail and institutional clients.
Passing $1 billion this rapidly shows the strength of demand for secure, transparent crypto-backed lending, with this being a bridge between digital assets and traditional finance.
Stablecoin Law Boosts Confidence
Investor optimism also reflects progress on regulation.
The recently creates the first federal framework for payment stablecoins, requiring issuers to maintain one-to-one reserves, undergo monthly audits, and protect consumers in insolvency scenarios.
The law offers long-sought clarity for the sector and could accelerate adoption of USDC, the stablecoin Coinbase co-founded with Circle. Stablecoins already play a major role in the platform’s revenue model, and analysts say regulatory certainty strengthens its long-term position.
Stablecoin rules provide legitimacy to one of Coinbase’s most significant business lines, and combined with the growth in lending, this marks a structural expansion of its financial services.
Just recently, it announced a partnership that allowed a 10% yield on USDC, facilitated by Morpho and SteakHouse Finance, allowing its users to earn this.
Coinbase is Bullish on Crypto
Coinbase has been bullish on crypto. In fact, it has a layer network built on the ETH blockchain, which has continued to gain prominence in the market.
Recently, by 2030.
He attributes this potential surge to factors such as the establishment of clear regulatory guidelines, potential purchases of BTC by the U.S. government, and growing demand from large institutional investors.
Meanwhile, to give Galaxy smartphone users in the U.S. access to Coinbase One, offering zero trading fees, higher staking rewards, and protection against unauthorized losses. Users can also purchase crypto through Samsung Pay, and with over one billion Galaxy devices worldwide, the partnership could become a major channel for retail adoption, benefiting COIN significantly.
