Coinbase is reviving its Stablecoin Bootstrap Fund to enhance stablecoin liquidity in decentralized finance (DeFi) markets, initially deploying funds in USDC and EURC on platforms like Aave, Morpho, Kamino, and Jupiter. This initiative aims to support both established and emerging protocols as the DeFi sector continues to grow, despite remaining below its 2021 peak.

Coinbase, in collaboration with Mercuryo, has lowered on-ramping fees for USDC users on its Base platform, providing a discount aimed at MetaMask users. This announcement follows Circle's plans to develop a stablecoin-native Layer 1 blockchain utilizing USDC as its gas token.

JPMorgan estimates that Coinbase's upcoming Base token could unlock up to $34 billion in value, driven by the growth of its Layer 2 network and new monetization strategies. The bank raised Coinbase's stock rating and price target, highlighting potential profit from changes to USDC rewards and the integration of a decentralized exchange within the Base platform.

Coinbase has introduced a new feature in its app that allows users to make peer-to-peer payments using USDC, a stablecoin. This development aims to enhance the usability of cryptocurrency for everyday transactions and improve user engagement within the platform.

Mizuho analysts predict shrinking margins for Circle's USDC following Coinbase's Q2 earnings, estimating Circle earned $625 million in total interest income. The analysts highlight increased distribution costs and new partnerships, including with Binance, as factors leading to a bearish outlook for Circle's stock.