News

Coinbase Launches Wrapped ADA On Base, Boosting Cardano DeFi Utility

Coinbase rolls out a wrapped version of Cardano's native token, cbADA, advancing DeFi utility on the network.
Published by
Coinbase Launches Wrapped ADA On Base, Boosting Cardano DeFi Utility

Highlights

  • Coinbase launches cbADA to supercharge Cardano decentralized finance (DeFi) utility.
  • The wrapped version of Cardano's native token is backed 1:1 by ADA in Coinbase's reserve.
  • Coinbase stock has hit a four-year high while ADA is recovering from recent market crash.

Coinbase has launched a wrapped version of ADA on Base, a move designed to unlock a wave of decentralized finance (DeFi) functionalities for Cardano. The latest launch extends Coinbase’s streak of rolling out wrapped assets, bringing it one step closer to unifying ecosystem liquidity.

Advertisement

Coinbase Unveils cbADA with Fully Backed Reserves

Today, US-based exchange Coinbase unveiled cbADA, a representation of Cardano’s native token on the Ethereum Layer 2 chain. According to a post on X by Coinbase Assets, cbADA is fully backed 1:1 by ADA held in Coinbase custody, with transparent proof-of-reserves.

Right off the bat, the wrapped version of ADA on Base will offer users a range of DeFi functionalities. Specifically, cbADA will enable the trading and deployment of Cardano-based liquidity across decentralized exchanges on Base.

For example, using cbADA, users can engage in DeFi activities such as lending and providing liquidity on platforms like PancakeSwap, Aerodrome, and Uniswap. Traditionally, Cardano does not natively support these DEXs, but by wrapping ADA to the ERC-20 standard, users can explore DeFi utility beyond the Cardano blockchain.

Coinbase also announced a wrapped version of Litecoin’s native token, cbLTC, offering similar functionalities. This announcement comes on the heels of Coinbase stock rallying to a four-year high, as analysts predict an impending price surge.

Advertisement

Frenetic Activity Levels For Cardano

While investors anticipate a surge in Cardano network metrics from cbADA, the native ecosystem is already heating up. The Midnight Glacier airdrop has ignited a wave of excitement, resulting in over 200,000 mentions on X in just one week.

The airdrop could drive increased network activity, as eligible participants must interact with the Cardano blockchain to claim NIGHT tokens. Analysts also note that sales of NIGHT tokens will further contribute to the growth of Cardano’s network metrics.

At the moment, Cardano’s active user base has declined to around 20,000, down from a peak of 54,000 earlier in 2025. Meanwhile, odds for a Cardano ETF approval have reached an all-time high of 79% on Polymarket.

Advertisement

Share
Aliyu Pokima

Aliyu Pokima is a seasoned cryptocurrency and emerging technologies journalist with a knack for covering needle-moving stories in the space. Aliyu delivers breaking news stories, regulatory updates, and insightful analysis with depth and precision. When he's not poring over charts or following leads, Aliyu enjoys playing the bass guitar, lifting weights and running marathons.

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • News

Japan’s FSA Targets Insider Trading in Cryptocurrency With New Rules

Japan is preparing to ban cryptocurrency insider trading under new rules that will treat digital…

October 15, 2025
  • News

VanEck Files Amended S-1 for Spot Solana ETF, Slashes Management Fee to 0.30%

VanEck has officially filed its fifth amendment for the spot Solana ETF (VSOL) with the…

October 15, 2025
  • Bitcoin News

Breaking: Jerome Powell Signals More Rate Cuts As Labor Market Weakens, Bitcoin Rises

Fed Chair Jerome Powell took a dovish stance on monetary policy, highlighting rising labor-market risks.…

October 14, 2025
  • Bitcoin News

DOJ Files $15B BTC Forfeiture Order, Potentially Boosting U.S. Bitcoin Reserves

The U.S. Department of Justice (DOJ) is seeking to gain ownership of up to $15…

October 14, 2025
  • News

‘Trump Insider Whale’ Increases Bitcoin Short to $485M Amid Crypto Market Crash

The entity known as the “Trump Insider Whale” has deepened his bearish stance against Bitcoin.…

October 14, 2025
  • Uncategorized

Fed Governor Michelle Bowman Projects Two More Rate Cuts This Year

Fed Governor Michelle Bowman has commented on how many more rate cuts the FOMC could…

October 14, 2025