How Coinbase is Bridging Bitcoin to DeFi with New OnChain Lending | Will Robinson, VP of Engineering
Will Robinson, VP of Engineering at Coinbase, explores the company’s expanding role in decentralized finance (DeFi), highlighting the launch of Bitcoin-backed USDC loans through Morpho and Coinbase’s broader efforts to integrate DeFi solutions. He explains how Coinbase is working to connect centralized finance (CeFi) with DeFi by incorporating decentralized protocols while prioritizing security and regulatory compliance. Robinson also discusses the introduction of cbBTC as an alternative to WBTC, the company’s approach to multi-chain development, and its plans for further DeFi integrations. Additionally, he addresses ongoing debates about Ethereum Layer 2 networks and their impact on the main chain, emphasizing the importance of improved cross-chain interoperability. He also provides insights into Coinbase’s asset listing process, the role of meme coins in the crypto ecosystem, and the company’s broader mission to support a more open and accessible financial system.
Chapters
00:00 - Intro: Will Robinson, VP of Engineering at Coinbase
00:45 - Coinbase’s expanding role in DeFi
01:16 - Bitcoin-backed USDC loans powered by Morpho
02:34 - How Coinbase enables BTC holders to access liquidity
05:15 - Risks involved in Bitcoin-backed loans
08:58 - Liquidation risks and loan-to-value ratios
11:13 - Early demand and adoption of the product
13:15 - cbBTC vs. WBTC: Why Coinbase launched its own Bitcoin wrapper
18:47 - How cbBTC is issued and traded
21:36 - Coinbase’s approach to self-custody and wallets
24:07 - The role of Coinbase Wallet in bridging CeFi and DeFi
27:31 - Coinbase’s long-term DeFi strategy and future integrations
29:50 - Will DeFi become a mainstream part of traditional finance?
33:51 - Coinbase’s evolution from exchange to financial institution
34:34 - The rise of Base: How Coinbase grew its Layer 2
38:28 - Are Layer 2s parasitic to Ethereum?
49:08 - The role of meme coins in crypto and Coinbase’s listing process
54:20 - The future of on-chain finance and economic freedom
✨ Check out our new website ✨
https://thedefiant.io/
🚀 Sign up to our newsletter 🚀
https://thedefiant.io/go-premium#pricing?utm_source=YT&utm_medium=social&utm_campaign=signup
🤑 Find DeFi investment opportunities & educational primers here
https://thedefiant.io/promo?utm_source=YT&utm_medium=social&utm_campaign=alpha
✊ Follow The Defiant
Twitter: https://twitter.com/defiantnews
Discord: https://discord.com/invite/3SdRdEs5ag
Instagram: https://www.instagram.com/thedefiant.io/
Telegram: https://t.me/DefiantNews
📬 Contact our Newsroom
editorial@thedefiant.io
🤝 Sponsorships & Partnerships
sponsors@thedefiant.io
#TheDefiant #DeFi #Decentralized #Finance #Blockchain #Web3
Bitcoin Is Worth Over $1 Trillion. How Much Will Coinbase’s New cbBTC Grab? - Ep. 703
On Thursday, Coinbase unveiled cbBTC, a tokenized version of Bitcoin on its Base layer 2 and Ethereum. This launch follows the recent BitGo controversy about the custody arrangement for Wrapped Bitcoin (WBTC) now involving Justin Sun, sparking concerns within the crypto community.
In this episode, Will Robinson, Coinbase’s VP of engineering, discusses the strategic importance of cbBTC, how it differs from other wrapped Bitcoin products, and what this means for the future of Bitcoin within DeFi ecosystems.
Will Coinbase’s reputation as a "trusted custodian" be enough to make cbBTC the go-to choice for Bitcoin in DeFi, or will the industry remain skeptical?
01:54 Why Coinbase launched cbBTC and how it aims to bring Bitcoin into the world of DeFi
04:05 What happens behind the scenes when users mint cbBTC
05:21 What sets cbBTC apart from other wrapped Bitcoin options, according to Will
06:32 Whether Coinbase will expand cbBTC to other layer 2s and where users can already use it on major DeFi platforms
08:45 Will’s response to criticisms about the centralization of cbBTC
12:28 Why Coinbase's cbBTC launch was part of long-term plans, unrelated to the recent controversy around WBTC and Justin Sun
13:31 How Coinbase plans to make money from cbBTC, considering that WBTC has not been a big moneymaker for BitGo
15:38 Why Coinbase has the ability to freeze and blacklist cbBTC addresses
19:34 How Coinbase ensures that Bitcoin backing cbBTC remains the property of token holders and won’t be used as collateral or rehypothecated
20:58 Why Coinbase, a centralized entity, is launching cbBTC, a product for the decentralized, onchain world
23:57 Why Will doesn't want to predict how much demand there'll be for cbBTC
Visit our website for breaking news, analysis, op-eds, articles to learn about crypto, and much more: unchainedcrypto.com
Thank you to our sponsors!
iTrustCapital
Polkadot
Mantle’s FBTC
Gemini
Stellar
Guest
Will Robinson, VP of Engineering at Coinbase
Links
cbBTC
Unchained: Coinbase’s Wrapped Bitcoin Product cbBTC Launches on Base and Ethereum
BitGo changing custody and its implications:
Unchained:
Wrapped Bitcoin (WBTC) Redemptions Vastly Outpaced Minting Since BitGo’s Custodial Changes Announcement
Lending Protocol Aave to Propose Onboarding TBTC in Response to Concerns About Latest WBTC Custodial Changes
Could dlcBTC Resolve the Issues With Wrapped Bitcoin?
BitGo Abruptly Pivots on Holders of WBTC Multi-Sig Keys Following Community Outcry
MakerDAO Considers Offboarding WBTC as BitGo Plans Custody Changes
Aave DAO’s Chaos Labs Says ‘Risk-Off’ Recommendation for WBTC ‘Premature’
Learn more about your ad choices. Visit megaphone.fm/adchoices
NEWS: Coinbase launches L2
Breaking News: Coinbase is launching an L2 on Ethereum called Base!
Jesse and Will from Coinbase join us to discuss the news and paradigm shift for Coinbase. We explore why Coinbase is building Base, how Coinbase chose to use the OP tech stack, Base's value proposition, how Coinbase thinks about "competition" building on Base, if Base will have a token and more!
--
Timestamps:
(00:00) Introduction
(00:45) Base: Coinbase’s on-chain journey
(05:02) Why build Base?
(10:10) Leveraging the OP stack
(19:10) Why now?
(24:41) Base’s value proposition
(35:27) Controlling the stack
(41:10) Will Base have a token?
(44:05) Building a bridge, not an island
(46:54) What will Coinbase build on Base?
(51:05) What is Base’s business model?
(54:34) A culture shift and the on-chain future
- -
Follow Jesse: https://twitter.com/jessepollak
Follow Will: https://twitter.com/willrobinson23
Follow Jason: https://twitter.com/JasonYanowitz
Follow Santi: https://twitter.com/santiagoroel
Follow Empire: https://twitter.com/theempirepod
Subscribe on YouTube: https://tinyurl.com/4fdhhb2j
Subscribe on Apple: https://tinyurl.com/mv4frfv7
Subscribe on Spotify: https://tinyurl.com/wbaypprw
Get top market insights and the latest in crypto news. Subscribe to Blockworks Daily Newsletter: https://blockworks.co/newsletter/
- -
Resources
The Coinbase Secret Master Plan
https://www.coinbase.com/blog/the-coinbase-secret-master-plan
- -
Disclaimer: Nothing said on Empire is a recommendation to buy or sell securities or tokens. This podcast is for informational purposes only, and any views expressed by anyone on the show are solely our opinions, not financial advice. Santiago, Jason, and our guests may hold positions in the companies, funds, or projects discussed.