Coinbase now allows customers to use their bitcoins as collateral for loans. While this sounds straightforward, the process can be more involved.

1. Your BTC is converted into Coinbase Wrapped BTC (cbBTC).

2. cbBTC is transferred to Morpho, an Ethereum-based lending protocol.

3. You receive USDC stablecoins in your Coinbase wallet.

4. You likely need to convert USDC to fiat currency.

5. Finally, you withdraw fiat from Coinbase to your bank account.

Alternatively, you could use Firefish.io:

1. Your BTC is locked as collateral in an on-chain escrow.

2. Fiat currency is directly transferred to your bank account.

Get in touch if this second option sounds interesting to you.