Coinbase begins backtesting the new USDF stablecoin

Coinbase is testing a new stablecoin (USDF) exchange backend, the company said Tuesday via its Coinbase Markets account. The token is activated for testing purposes only and is not currently available for trading, deposits and withdrawals.

A new Coinbase Custom Stablecoin, USDF, has been activated for operational testing on the Coinbase Exchange.

Please note: This is only a test phase of support. Transactions, deposits and withdrawals are currently unavailable. Stay tuned for more updates.

— Coinbase Markets 🛡️ (@CoinbaseMarkets) January 27, 2026

The latter test shows an early stage of development, with Coinbase saying that more updates will be shared as the test progresses. The move signals the potential expansion of the company's stablecoin strategy beyond USDC, which it will jointly issue with Circle.

The announcement follows Coinbase's broader push to roll out new product features on its platform. Late last year, the exchange outlined plans to expand into areas including equity-linked products, sustainable futures trading, prediction markets and enhanced stablecoin issuance capabilities.

As part of a broader push to expand its product portfolio, Coinbase unveiled its Custom Stablecoin infrastructure late last year. The framework allows for dollar-backed tokens to be issued in full with USDC and is now being used to support the development of the USDF in a later phase of testing.