Starting May 10, Coinbase will no longer offer its Borrow service that allows users to borrow fiat currency using Bitcoin as collateral. The decision to discontinue this service comes after the US Securities and Exchange Commission (SEC) threatened legal action against Coinbase for its proposed Lend program, which would have offered similar lending services.

Coinbase notified its customers of the change and provided them with options to repay their loans. The company emphasized that it remains committed to creating innovative products and services that comply with regulatory requirements.

The SEC had previously warned that it may consider Coinbase's Lend program to be a security offering and subject to securities laws. Coinbase had argued that the program was not a security, but the SEC remained unconvinced.

The decision to end its Borrow service is part of Coinbase's effort to maintain compliance with regulatory requirements and avoid potential legal issues. Despite this setback, Coinbase remains one of the largest and most popular cryptocurrency exchanges in the world, with millions of users worldwide.