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Coinbase says users can borrow up to 100,000 USDC against jitoSOL

Coinbase says users can borrow up to 100,000 USDC against jitoSOL

The exchange said eligible U.S. customers can pledge Jito's liquid staking token as collateral through Morpho on Base, keep earning staking and MEV-linked rewards, and face liquidation at an 86% loan-to-value ratio.

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Fact Check
The claim is directly supported by the primary source: the official Coinbase X account (@coinbase) posted on 2026-07-24 that users can 'Borrow up to $100k in USDC against your staked SOL via jitoSOL and continue earning your staking rewards' with instant access to borrowed funds. The Coinbase Help page independently confirms JitoSOL is eligible collateral for USDC loans via Morpho on Base. The claim's note that key loan terms were undisclosed is consistent with the help documentation, which describes a variable interest rate rather than fixed announced terms. News corroboration (Gate/Odaily) reinforces this.
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Summary

Coinbase said eligible U.S. customers can borrow up to 100,000 USDC against jitoSOL, Jito's liquid staking token for staked SOL, while continuing to earn staking rewards and MEV-linked yield on the underlying position. The loans run through Morpho, a decentralized lending protocol on Base, with Coinbase handling the user interface and cross-chain transfer into Morpho's smart contracts. Borrow rates start at 5.77%, a one-time origination fee is charged at drawdown, and borrowers can repay at any time with no fixed schedule. Coinbase said collateral can be liquidated automatically if the loan-to-value ratio reaches 86%. The move expands a product that already accepted BTC, ETH and plain SOL as collateral. Coinbase had added SOL in May 2026, but unlike native SOL, jitoSOL continues accruing yield while posted as collateral. Coinbase said availability is limited to U.S. customers outside New York State, and the borrowed USDC is deposited into a Coinbase account but cannot be used to purchase crypto directly on the platform. The addition marks the first time a major centralized exchange has accepted a Solana liquid staking token as loan collateral. Jito's token had a $740 million market cap and about 190,000 holder addresses as of July 25, according to Solana Compass data. Coinbase's disclosures also highlighted risks tied to Morpho smart contracts, bad debt if collateral falls faster than liquidations can clear, and possible liquidity delays during heavy withdrawal demand.

Terms & Concepts
  • jitoSOL: Jito's liquid staking token for SOL, designed to keep accruing staking rewards and MEV-linked yield while remaining usable in other applications.
  • loan-to-value ratio: A lending metric that compares the size of a loan with the value of the collateral backing it.
  • liquid staking token: A token representing a staked asset that can still be transferred or used as collateral while the underlying asset remains staked.