Ledn Loans

A Dollar Loan from Ledn allows you to borrow funds against your Bitcoin (BTC) without having to sell your digital assets. This means you can keep your BTC intact while accessing liquidity in USD, local fiat or stablecoins.

How It Works

Collateral & Loan-to-Value (LTV):
Loans are typically issued at a 50% LTV. For example, if your BTC is worth $10,000, you can borrow up to $5,000.

The minimum loan amount is $500 USD, and clients must have at least $1,000 USD equivalent in BTC to apply.

Interest Rates, Fees & Terms:

• Loans have a standard 12-month term with flexible repayment options.

• No prepayment penalties – you can repay your loan early without additional charges.

• Interest accrues on a daily basis and is only due when the loan is closed, when you want to refinance your loan or when your loan renews at maturity (subject to availability). See here for more details.

• A 2% administrative fee applies at loan origination. This fee is not applicable to clients residing in Canada and the United States.

For more details on Ledn’s interest rates, see our article Understanding Ledn’s Loan Rates.

Custodied Loans collateral management method:

All collateral at Ledn is held securely in custody that is verifiable by Ledn. Neither Ledn nor the institutional partner nor any financing vehicle has the right to lend out your collateral to generate interest. To learn more, see our article on custodied loans.
 

Key Benefits

• Receive funds in USD,your local fiat currency or stablecoins.

• Quick loan disbursement, typically within 12 hours of applying for your loan, assuming you send your bitcoin collateral to your approved loan promptly. This time may vary outside of business hours, and for fiat loans, depending on your bank.

• No early prepayment penalties and no payments until the loan is closed

• Flexible repayment in BTC, stablecoins, or via wire transfer.

For Custodied Loans, the collateral you post to secure your loan may only be re-posted by Ledn to a trusted institutional USD funding partner (such as a bank, credit fund or other corporate funding partner) or a Ledn-sponsored and managed financing vehicle, including Lend’s bitcoin-backed asset backed security (ABS).

Collateral is held securely in custody that is verifiable by Ledn, and the collateral is legally ring-fenced from a funding partner’s assets and protected even in the unlikely bankruptcy of our funding partner or legally held in bankruptcy-remote financing vehicles.

Collateral is held securely in custody throughout the loan. Neither Ledn nor the institutional partner nor any financing vehicle has the right to lend out your collateral to generate interest. 

Applying for a Dollar Loan is simple. Just follow these steps:

Step-by-Step Instructions

1. Log into Your Ledn Account
   Navigate to your dashboard at platform.ledn.io 

2. Select the Loan Type
   Choose BTC-backed loan.

3. Fill Out the Application
   Provide the loan amount, select how you’d like to receive the money (fiat, USD, stablecoins), and submit the loan application. Your loan is always denominated in U.S. dollars, regardless of the disbursement method you choose.

Loans are normally automatically approved within 5 minutes but some jurisdictions require manual approval, which normally takes less than a day. 

4. Submit Collateral: Once approved, transfer your collateral to the provided wallet address:

• Go to your Loans tab

• Click Send Collateral

• Select the source of the collateral, either your Transaction Account or from an External Source

• Enter the amount and submit.

5. Receive Funds
   Disbursement typically occurs within 12 business hours after your loan application is submitted, assuming you send your bitcoin collateral to your approved loan promptly. Times may vary outside of business hours and depending on your bank for fiat disbursed loans.

Ledn Dollar Loans are available globally; however, availability depends on your country or region due to regulatory reasons.

To check whether Dollar Loans are available in your jurisdiction, please visit our Eligibility Page.

Restricted Regions

Certain jurisdictions currently do not support Dollar Loans due to regulatory limitations. These include, but are not limited to:

• U.S. States: California, Connecticut, Hawaii, Nevada, North Dakota, South Dakota, Tennessee, Washington, and Washington D.C.
• Canadian Provinces: New Brunswick, Nova Scotia, Saskatchewan, Quebec
• Other International Regions: For the full details, refer to our Eligibility Page. 

Additional Requirements

In some eligible areas, loans may be subject to minimum principal requirements or confirmation of commercial purpose. Contact Ledn Support for assistance in determining availability in your location.

A B2X Loan is a unique product that enables you to double your Bitcoin exposure. When you apply for a B2X Loan, Ledn provides you with a USD loan that is immediately used to purchase additional BTC, using both your original and newly acquired Bitcoin as collateral.

This structure allows you to increase your Bitcoin position without needing to deposit additional cash.

How It Works

• BTC Collateral: You must hold a minimum of $500 USD worth of BTC in your BTC Transaction Account to qualify.
• Doubling Exposure: Ledn provides a USD loan which is automatically used to buy an equal amount of BTC, effectively doubling your position.
• Collateral Usage: The original and newly purchased BTC are used as collateral for the loan.
• Loan Term: 12-month fixed term
• Loan Principal: Contracted in USD

Interest Rates, Admin Fees & Terms

• Interest Calculation: Interest accrues on a daily basis and is only due when the loan is closed, when you want to refinance your loan or when your loan renews at maturity (subject to availability). See here for more details.

• Admin Fees: A 2% administrative fee may apply at origination.
• Collateral Management: All B2X Loan collateral is managed under the Custodied Loan method.
• Repayment Options:
  Repay any time within the 12-month term using BTC, stablecoins, or via wire transfer. No early repayment penalties.

To open a B2X Loan:

1. Log into Your Ledn Account: Ensure your BTC Transaction Account has a balance.
2. Use the B2X Calculator: Enter the amount of BTC you wish to double. The platform will display loan details.
3. Confirm and Place Order: Follow prompts to your loan request, add your TOTP Code to confirm the transaction, and the BTC will be purchased and your B2X loan started.

B2X Loans are available in several regions but come with specific restrictions:

Unavailable In:

• United States and Canada

• Certain Countries: You can check availability in your location by visiting our eligibility page here.

What are tiered loan rates?

Ledn now offers four transparent pricing tiers for all Bitcoin-backed loans. Your interest rate is determined by your individual loan amount – the larger your loan, the lower your rate. Rates are displayed upfront on the platform so you always know exactly what you’ll pay before you apply. There are no hidden fees, no negotiations, and no surprises.

How are tiers determined?

Your tier is based on your individual loan amount at the time of application, refinance, or renewal. You can see the exact tier thresholds and corresponding rates directly on the Ledn platform using the loan calculator. As your borrowing needs grow, your rate drops automatically.

Do tiered rates apply to both Dollar Loans and B2X Loans?

Yes. Tiered pricing applies to all new loan applications, refinances, and renewals across both Dollar Loans and B2X Loans.

I have an existing loan. Can I get the new lower rate?

Your existing loan will maintain its current rate and terms until maturity. You have two options to access the new tiered rates:

• Refinance your loan: If your loan is eligible for refinancing, the refinanced loan will use the current tiered rates based on your refinanced loan amount.

• Wait for renewal: When your loan reaches maturity, renewal will automatically use the current tiered rates based on your renewal amount.

Both options calculate your tier based on the new or renewed loan amount, so you could potentially access a better rate tier than your original loan.

Can I consolidate multiple loans to qualify for a lower rate tier?

Yes. You can refinance multiple existing loans into a single new loan. The consolidated loan will use tiered pricing based on the total combined amount. For example:

• Before: Two loans of $150K each (total $300K) at base rates

• After: One $300K loan qualifying for a better pricing tier

To consolidate, contact support@ledn.io 

How does this interact with my Referral Discount?

Your referral discounts are applied on top of your tier rate. This means you receive the maximum possible benefit by combining both.

Are tiered rates available globally?

Yes, tiered pricing is available in all jurisdictions where Ledn operates. Rate values may vary by jurisdiction to reflect local regulations and market conditions, but the transparent tiered structure is the same everywhere.

Does a lower rate mean my Bitcoin is less safe?

No. All tiered rates apply to Ledn’s Custodied Loan model. Your Bitcoin remains 1:1 custodied, never lent out for interest, and protected by 8 years of proven security. A better rate at Ledn never means higher risk.

Where can I see the current tiered rates?

You can view the current rates at any time on the Ledn platform by navigating to your Ledn dashboard or the loan calculator. You can also see them on our website at ledn.io.

Once a loan has been issued, its amount cannot be increased. Each loan at Ledn is created as an independent agreement with its own collateral, maturity date, and terms.

If you wish to access additional liquidity, you would need to apply for a new loan for the extra amount you’d like to borrow.

Can I have more than one loan at the same time?

Yes. You can have multiple active loans with Ledn. Each loan will be treated separately, with its own collateral balance and loan agreement.

What if I want to use my existing collateral for a new loan?

If your current loan(s) qualify for collateral redemption, you may be able to redeem a portion of your existing collateral and use it to collateralize a new loan.

To redeem collateral for a new loan, the following conditions must be met:

• The loan has been active for more than 60 days.

• Your current LTV is below 30%.

• You have not redeemed collateral in the last 60 days.

• You have at least $100 USD worth of redeemable collateral available (maximum: $100,000 USD every 60 days).

If your loan does not meet the requirements, you can always transfer new collateral for a new loan. 

Once your Bitcoin (BTC) collateral has been sent to your Ledn loan wallet address and verified on the blockchain, your loan disbursement process begins.

Typically, loan funds are disbursed within approximately 12 business hours after your collateral has been received and verified. Please note that your receiving bank’s processing times may affect when the funds appear in your account. Additionally, weekend or holiday processing may result in longer timelines for funds to reflect in your bank account. 

What happens after I send my collateral?

Collateral verification

Once your BTC transaction receives the required confirmations, our system automatically verifies the collateral amount and links it to your loan.

Your loan status will change from “Pending” to “Active” in your Loan dashboard once your loan has been disbursed.

Loan disbursement

• Stablecoin loans: Once verified, funds are typically disbursed within minutes. If you plan to withdraw the proceeds from the Ledn’s platform, we recommend selecting an “External address” during the loan application process to ensure your withdrawal is processed faster. 

• Fiat loans: For loans funded via bank wire, Ledn processes the disbursement within the next 12 business hours after collateral verification.

Please note that your receiving bank’s processing times may affect when the funds appear in your account. Additionally, weekend or holiday processing may result in longer timelines for funds to reflect in your bank account.

Confirmation

Once your loan has been successfully disbursed, you’ll receive a confirmation email and see your active loan details reflected in your Loans tab.

In some cases, we may reach out before disbursement to confirm your banking details and ensure everything is correct.

For more information you can reach out to our Client Success Team.

To comply with Anti-Money Laundering (AML) regulations, all loan disbursements and repayments must be made to and from bank accounts held under the same legal name as the Ledn account holder.

Disbursement Requirements

• Ledn can only send funds to accounts in the client’s name.

• Disbursements cannot be made to:

  • Accounts held by another individual or business.

  • “For Further Credit (FFC)” accounts or payment instructions.

  • Brokerage, investment accounts or crypto exchanges.

• For individual clients, funds can only be sent to a personal bank account.

• For corporate clients, funds must go to the company’s business account.

Important: Failure to provide Ledn with the proper banking account instructions will result in delays in receiving the funds and in some cases may take up to 30 days for the bank transfer to be returned to Ledn.

Repayment Requirements

• All loan repayments must come from a bank account under the same name as the Ledn account holder.

• Payments received from third-party, or FFC accounts will be rejected.

In Summary

Both disbursements and repayments must originate from and be sent to an account in the same legal name as the Ledn account holder. This ensures regulatory compliance and prevents transaction delays or returns.

Yes, you can download your loan agreement directly from your Ledn account. This document provides the full details of your loan, including the terms and collateral.

How Do I Access My Loan Agreement?

1. Log in to Your Ledn Account:
Go to www.ledn.io and log in to your account.

2. Navigate to Your Loan Dashboard:
Once logged in, click Loans in the main menu, then select B2X or Dollar Loans, depending on the type of loan you hold.

3. Select Your Loan:
Click on the specific loan for which you need the agreement.

4. View Your Loan Details:

Your loan details are displayed on the loan page.

5. Download Your Agreement:

In the Details panel, select Download agreement to download a PDF copy of your loan contract.

Additional Information

• Your loan agreement can also serve as proof of origin of funds for your bank or financial institution if required.
• If you experience any issues locating or downloading your agreement, please contact our Client Success Team through the Help Center for further assistance.

Loan Activity gives you a complete view of your individual loan, including funding details, loan agreement, performance, key thresholds, and transaction history.

What can I see in Loan Activity?

Loan Activity includes:

• Loan performance: View your loan’s current details and performance over time.

• Threshold prices: Review the Bitcoin prices associated with your loan’s key LTV thresholds.

• LTV history: See how your loan-to-value ratio has changed over time.

• Activity: Review loan funding details, repayments, collateral movements—including collateral added to or released from the loan—and liquidations, if applicable.

How do I view my Loan Activity?

1. Sign in to your Ledn account.

2. Go to Loans.

3. Select the loan you would like to review.

4. Open the Activity tab.

You will see a chronological record of activity for that specific loan.

Can I export my Loan Activity?

Yes. You can export your Loan Activity directly from the Activity tab.

Select Export activity, then choose the format you would like to download:

• CSV

• PDF

The export can help you maintain your own records and review your loan history more easily.

Does Loan Activity show all of my Ledn account activity?

Loan Activity is specific to the individual loan you select. To review another loan, open that loan and select its Activity tab.

For activity related to your Transaction Account, please refer to your Transaction Account history and statements.

Is Loan Activity a tax document?

Loan Activity is provided as a record of your loan activity. It is not tax, legal, or financial advice. We recommend consulting a qualified tax professional regarding your personal reporting obligations.