Coinbase adds SOL as loan collateral — holders can now borrow up to $100K in USDC against Solana!

Coinbase officially added Solana as eligible collateral for its crypto-backed lending service on May 12, letting U.S. users borrow up to $100,000 in USDC against their SOL holdings. SOL now sits alongside Bitcoin and Ethereum as the only accepted collateral on Coinbase's non-custodial loan product, which is built on the Morpho protocol over Base. The maximum loan-to-value ratio is set at 70% — meaning a holder with $10,000 in SOL can draw up to $7,000 in USDC, with collateral locked in a smart contract and no fixed repayment deadline.

The structural read matters as much as the product detail. SOL being elevated to the same collateral tier as BTC and ETH on the platform that has originated $2.3 billion in cumulative crypto-backed loans means holders with unrealized gains can access liquidity without selling — a dynamic that structurally reduces sell pressure while demand stays…