Both let you borrow against Bitcoin without selling, but they are built on opposite foundations. Coinbase's loan is a decentralized finance (DeFi) product with a Coinbase front end; APX Lending is a centralized lender (CeFi) that pairs no fees with a qualified custodian. The right one depends on what you value: the lowest floating rate, or fee-free cash with independent custody and a human to call.
This is an independent comparison, not advice. Coinbase figures are a snapshot because its rate floats; APX figures are verified weekly.
The core difference
APX holds your Bitcoin with BitGo Trust, a qualified custodian, charges no origination or admin fee, and gives you a cure window if your loan-to-value climbs too high. Coinbase converts your Bitcoin to cbBTC, supplies it to a Morpho market on Base, and lends you USDC, with liquidation enforced automatically by code. One is a company backed by an independent custodian; the other is a protocol plus Coinbase's custody of the wrapped-Bitcoin backing. Our CeFi vs DeFi guide covers why that distinction drives everything else.
Where they differ
- Rate. Coinbase is usually cheaper on the headline number (recently around 5 to 6 percent, variable, no ceiling) than APX (from about 9.99 percent). APX charges no origination or admin fee, so its rate is the all-in cost, and it does not float.
- What you receive. APX pays cash. Coinbase pays USDC, a stablecoin you convert yourself.
- Custody. APX uses BitGo Trust, a qualified custodian, and does not re-lend your Bitcoin. Coinbase locks cbBTC in the Morpho market (not re-lent there), with the underlying Bitcoin custodied by Coinbase. Read our rehypothecation explainer for why that matters.
- On a margin call. APX gives a cure window with support. Coinbase liquidates automatically on-chain at about 86 percent loan-to-value, with no guaranteed grace period.
- Approval. APX runs no credit check and funds in about a day; Coinbase funds in about a minute with a Coinbase account.
Who picks which
Lean APX if you want cash, no fees beyond interest, a qualified custodian, and a cure window with no credit check. Lean Coinbase if you want the lowest available rate and near-instant funding, you are comfortable holding USDC and managing automatic liquidation, and you already keep Bitcoin on Coinbase. Some borrowers use both for different needs.
How we cover each
Read our Coinbase loan review and APX review for the full detail. To see how APX's rate sits against the rest of the centralized market, check the BoB Bitcoin Loan Rate Index, and compare every US lender in our main comparison.