The SF based cryptocurrency exchange is looking to support the growth in decentralized finance by launching the "USDC Bootstrap Fund", and is starting by contributing $2m worth of USDC cryptocurrency to lending protocol Compound and derivative platform dydX.
“The biggest concerns in general is that DeFi is a tiny portion of the world of banking and financial transactions. So the biggest thing for us is that we want to help grow Decentralized Finance… The only number we are tracking is the growth of DeFi and what USDC and Coinbase can do to encourage that,” said Dalal. Indeed, according to data compiled by The Block’s Larry Cermak, the total value locked in DeFi protocols has grown around 176% over the past year to $500 million, the majority dominated by Dai issuer MakerDao. Meanwhile, following Dai’s dominance in DeFi, USDC comes in as a distant second, with around 12% of Dai’s total loans originated volumes across several major lending protocols.