Base network lending reaches record $2.75 billion

Outstanding loans on the Base Layer 2 network reached a record $2.75 billion on September 10, following a surge in lending activity in late August. The growth highlights the expanding credit market on Coinbase’s network.

Morpho and Aave are the primary drivers of this activity. Morpho holds a significant portion of the total value locked (TVL), which stands at approximately $4.56 billion, with Morpho accounting for about $3.94 billion and active loans of roughly $1.93 billion. Aave V3 follows with a TVL of approximately $513 million and active loans totaling $354 million.

Coinbase has integrated these decentralized finance capabilities by offering crypto-backed loans that allow qualifying customers to borrow USDC. This product is ‘powered by Morpho,’ utilizing Morpho’s on-chain infrastructure while Coinbase manages customer relations.