At Ledn, we recognize that the collapses of Celsius, BlockFi, Voyager, and others damaged the perception of the CeFi lending industry. Many of our clients reported that their trust in the sector has been destroyed as they wait for costly and time-consuming bankruptcy proceedings to determine what percentage of their assets are recoverable.
In response, we resolved to rebuild our savings experience around the pillars of client control, risk mitigation, access, and transparency - to make it even better. You can now earn yield with Ledn Growth accounts while knowing that your assets have new and improved safeguards.
The main differences from your previous Savings account are:
- Client control: You’ll have two accounts, a non-interest earning Transaction account and an interest-earning Growth account. You can opt in and out of yield by transferring funds between the Transaction and the Growth accounts, giving you complete control over your assets.
- Risk mitigation: The Growth account is ring-fenced, so you are only exposed to the counterparties that generate your yield. This means that the Growth accounts will be isolated from the risks of other Ledn products and services and will not be impacted even in the unlikely event that Ledn goes bankrupt.
- Access: If there is a non-performing loan with one of the counterparties that generates yield for you, you'll have the ability to access unimpaired funds quickly, rather than having those assets tied up in tedious bankruptcy proceedings.
- Transparency: You have a new client dashboard that gives you more visibility into how the yield is generated, in addition to Ledn’s Open Book Report that you can find in the Ledn Blog Section.
All of your assets continue to benefit from Ledn’s proven vetting, underwriting, and risk management policies as the global leader in crypto lending.