Coinbase has added wrapped versions of Cardano (cbADA) and Litecoin (cbLTC) to its Base network, an Ethereum layer-2 platform. This move aims to enhance interoperability by enabling these cryptocurrencies to participate in Ethereum’s decentralized finance (DeFi) ecosystem.
Previously, ADA and LTC were confined to their native blockchains, limiting access to major DeFi protocols such as Aave, Curve, and Compound. Wrapping these tokens—backed 1:1 by the original assets but usable on Ethereum—allows users to lend, borrow, or provide liquidity without leaving the Ethereum network.
This expansion follows Coinbase’s earlier introduction of wrapped Bitcoin (cbBTC) on Base, which has seen over 45,000 BTC reserved to date. By broadening the variety of assets on Base, Coinbase is promoting a more interconnected blockchain environment.
The strategy reflects a broader industry trend prioritizing blockchain interoperability. Users increasingly demand the ability to move assets freely across networks to maximize utility and returns. By enabling tokens like ADA and LTC to function within Ethereum’s ecosystem, Coinbase addresses these structural market limitations.
Alongside wrapped tokens, Coinbase recently secured a MiCA license in Europe, launched a Bitcoin credit card, and partnered with Shopify for stablecoin payments. These developments contributed to a surge in Coinbase’s stock price, surpassing its previous record of $375.
Analysts consider this week transformative, highlighting Coinbase’s evolution from a cryptocurrency exchange to a foundational infrastructure in the decentralized financial system. Competitors, including Kraken, are also pursuing similar regulatory approvals.