Coinbase Expands DeFi Capabilities With On-Chain DEX Trading for U.S. Users
Coinbase (COIN) has introduced decentralized exchange (DEX) trading within its primary app for most U.S. customers, excluding those in New York, the company announced Friday. The move aligns with Coinbase’s broader strategy to become an “everything app” for crypto users.
The new feature routes on-chain orders through leading DEX aggregators such as 0x and 1inch, tapping into liquidity from protocols like Uniswap and Aerodrome. According to Max Branzburg, Coinbase’s VP of Product, the integration allows users to trade directly from Coinbase while interacting with decentralized liquidity pools—eliminating the need to transfer assets off-platform.
Initially, users can access and swap a growing lineup of Base-native assets, including tokens from projects like Virtuals AI Agents, Reserve Protocol’s tokenized funds (DTFs), SoSo Value index products, Auki Labs, and Super Champs.
DEX trading offers self-custody, access to emerging assets, and permissionless use—appealing features for many crypto traders. These benefits come alongside inherent risks, such as smart contract vulnerabilities and limited liquidity in newer markets.
Coinbase’s latest integration reinforces its role as a gateway to both centralized and decentralized ecosystems. Embedding Web3 trading tools natively into its app allows the platform to serve both novice and experienced users while reducing reliance on intermediaries.
The update follows a wave of interest in non-custodial platforms like HyperLiquid, a decentralized derivatives exchange that recently recorded $11 billion in trading volume over the past month. The trend has been fueled by rising concerns over counterparty risk, especially following the collapse of centralized exchanges like FTX in 2022.
Data from DeFiLlama shows DEX activity continuing to grow in the current bull market, with daily volumes exceeding $12.8 billion—surpassing Coinbase’s $3.5 billion. Monthly decentralized trading now tops $407 billion, reflecting shifting user preferences toward on-chain solutions.
