Ledn has funded over $10 billion in bitcoin-backed loans across more than 100 countries since the company was founded in 2018.
“Never sell your bitcoin.” Those are Donald Trump’s words from July 2024 when he gave his keynote speech in front of an 8,000-person crowd at the Bitcoin Conference in Nashville, Tennessee. It’s a well-worn mantra in the Bitcoin community and it’s the main reason bitcoin loans exist.
The cryptocurrency has enjoyed a compounded return of roughly 80% annually between 2015 and 2024, assuming a bitcoin price of $430 for 2015 and $87,300 for 2024. Few, if any, assets can match that performance over an extended time horizon.
And that’s exactly why shrewd investors never sell. They buy the dip and hold on to their bitcoin ( BTC). But often, a dilemma arises; what if that investor needs cash for a purchase but doesn’t have the money on hand? This is where bitcoin loans come in.
Companies like Ledn offer loans that use bitcoin as collateral. Essentially, borrowers can access cash without liquidating their BTC. The entire process can be completed in a few hours, and no credit check is required. Here is a step-by-step overview of what that process looks like.
