Coinbase has reinstated its Stablecoin Bootstrap Fund in October 2023, aimed at enhancing DeFi liquidity through USDC and EURC on Aave, Morpho, Kamino, and Jupiter.
Coinbase Deploys USDC on Aave and Jupiter
Coinbase has relaunched its fund to enhance liquidity in DeFi, aiming to deploy capital using USDC and EURC across selected protocols like Aave and Jupiter. This initiative continues its 2019 efforts, when the fund first seeded liquidity in the DeFi space.
Liquidity Boost Expected to Aid Protocol Adoption
The relaunch is expected to increase market liquidity and support protocol adoption, benefiting both users and DeFi platforms. It focuses on enhancing liquidity for stablecoin trading pairs and lending pools, which could indirectly impact governance tokens.
USDC's Role Central to DeFi Growth
Compared to 2019, when the initial Stablecoin Bootstrap Fund seeded early liquidity, the relaunch leverages accrued DeFi integration of USDC. This foundation is pivotal for sustaining its current role in decentralized finance. It is expected that liquidity expansion and market adoption trends will mirror previous initiatives.
The relaunch of the Stablecoin Bootstrap Fund by Coinbase emphasizes the importance of USDC in the DeFi ecosystem and its role in ensuring liquidity, contributing to market development and strengthening positions.
