Coinbase launches wrapped ADA and LTC tokens on Base
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Coinbase has launched wrapped versions of Cardano’s ADA and Litecoin’s LTC tokens on the Ethereum Layer 2 network Base.
The launch comes as Coinbase continues to expand its wrapped asset offerings, allowing users to leverage non-Ethereum tokens across a broader range of decentralised finance applications.
Wrapped ADA and LTC tokens boost cross-chain utility
With the debut of cbADA and cbLTC, Coinbase is unlocking new opportunities for ADA and LTC holders to engage in Ethereum-native DeFi while maintaining custody security and transparent backing through proof-of-reserves.
According to Coinbase, the cbADA and cbLTC are backed 1:1 by ADA and LTC stored in Coinbase’s institutional custody.
Through this wrapping mechanism, users can send their ADA or LTC from Coinbase to Base, where it is automatically converted to the respective wrapped version.
When users send cbADA or cbLTC back to Coinbase, the wrapped tokens are redeemed 1:1 for the original ADA or LTC, maintaining parity and ensuring transparency.
These wrapped tokens dramatically increase utility for Cardano (ADA) and Litecoin (LTC), as holders can now use them across major Ethereum-based DeFi platforms that were previously inaccessible to the native coins.
Within 24 hours of launch, cbADA saw a supply of approximately $1.7 million, while cbLTC reached nearly $1 million, signalling early adoption by users eager to bring their assets into DeFi.
These figures are modest when compared to Coinbase’s earlier wrapped tokens, such as cbBTC, which has amassed over $4.9 billion in supply, yet they represent a promising start for ADA and LTC integration into Ethereum’s growing Layer 2 environment.
The addition of cbADA and cbLTC brings the total number of wrapped tokens on Base to five, including previously launched cbBTC, cbXRP, and cbDOGE.
Base, which is now the leading Ethereum Layer 2 network by daily transactions and active addresses, provides a robust infrastructure for wrapped assets to thrive.
As ADA and LTC begin circulating within Base-based DeFi protocols, traders will be watching closely to assess whether the increased utility can drive demand and help reverse the recent downward trend in prices.
Momentum grows amid upcoming Midnight Airdrop and Cardano ETF speculation
Notably, Coinbase’s cbADA and cbLTC launch also coincides with a period of growing excitement within the Cardano ecosystem, driven in part by Midnight’s upcoming Glacier Drop airdrop.
Midnight, a Cardano privacy-focused sidechain, is preparing to distribute its governance token NIGHT, which users can earn by interacting with the Cardano network.
This event has already sparked a surge in wallet activity and community engagement, with more than 200,000 mentions on the social media platform X recorded in a single week.
Meanwhile, speculation around the potential for a Cardano ETF has gained traction, with predictions on Polymarket suggesting a 79% likelihood of approval.
Together, these factors are contributing to renewed interest in ADA despite recent price struggles and declining open interest in derivatives markets.
The post Coinbase launches wrapped ADA and LTC tokens on Base appeared first on Invezz
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