Coinbase Wrapped BTC has emerged as a focal point for Base ecosystem expansion, with the most significant near-term development being Morpho's launch of its "Midnight" fixed-rate lending market on July 22-23, 2026. The new lending venue initially supports cbBTC and USDC, positioning the wrapped Bitcoin asset as a core collateral option in Base-native DeFi infrastructure. This integration underscores continued institutional and protocol-level demand for Coinbase's tokenized Bitcoin product beyond simple spot trading.