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Bitcoin News Today: Surge in Bitcoin Loans as Investors Leverage Assets for Cash Flow and Sidestep Tax Issues

Bitcoin News Today: Surge in Bitcoin Loans as Investors Leverage Assets for Cash Flow and Sidestep Tax Issues

Bitget-RWA2025/10/28 03:32
By:Bitget-RWA

- Ledn surpassed $1B in Bitcoin-backed loans in 2025, driven by $392M Q3 volume and $100M annual recurring revenue from liquidity solutions. - Institutional adoption grows as Sygnum Bank launches multisig lending, JPMorgan explores Bitcoin-backed loans, and mining firms secure $100M credit lines. - Regulatory progress, including U.S. crypto market bills and stablecoin banking access, accelerates corporate Bitcoin accumulation and custody expansion. - Market analysts project $45B in Bitcoin lending by 2030

Bitcoin Lending Sector Booms as Ledn Reaches $1 Billion in Loans

Ledn, a digital asset lending platform, has exceeded $1 billion in Bitcoin-backed loan originations for 2025, highlighting a strong revival in the crypto lending industry. The Toronto-based company recorded $392 million in loans during just the third quarter, nearly equaling its entire 2024 total and pushing its cumulative figure for the year above $1 billion. Ledn’s annual recurring revenue has climbed to $100 million, fueled by growing interest in liquidity products that let investors borrow against their

assets without needing to sell.

Bitcoin News Today: Surge in Bitcoin Loans as Investors Leverage Assets for Cash Flow and Sidestep Tax Issues image 0

The expansion of Bitcoin lending mirrors larger market movements. Sygnum Bank, a Swiss-based digital asset bank, plans to introduce a multisignature lending solution in early 2026, allowing clients to maintain authority over their collateral through a distributed key system. This method, which needs three out of five key holders to approve transactions, aims to address rehypothecation risks and provides borrowers with transparent, onchain verification.

. At the same time, major Wall Street players such as are exploring this space, with insiders confirming the bank is looking into Bitcoin-backed loans, despite having paused the project in 2022.

Institutional participation is also on the rise. Firms like Cantor Fitzgerald, FalconX, and

have all obtained Bitcoin-secured credit lines this year. Meanwhile, Bitcoin mining companies such as Riot Platforms and Cleanspark leveraged their Bitcoin reserves to secure $100 million credit facilities from Prime and Two Prime. The credibility of the sector is further enhanced by corporate Bitcoin accumulation, with organizations like American Bitcoin Corp. (ABTC) and Michael Saylor’s MicroStrategy (MSTR) increasing their reserves. ABTC, supported by Eric Trump, recently purchased 1,414 Bitcoin, raising its total to 3,865 BTC, while MSTR’s holdings now surpass 640,808 BTC.

Regulatory changes are transforming the industry. The United States is moving forward with a bill to structure crypto markets, and the Federal Reserve has suggested giving stablecoin issuers direct access to the banking system. These initiatives ease regulatory requirements for banks, allowing institutions like BNY Mellon and Fidelity to broaden their crypto custody and trading offerings. At the same time, political momentum for digital assets—including President Trump’s favorable stance and the passage of the GENIUS Act—has helped further legitimize Bitcoin as a financial asset.

Analysts expect the sector to keep expanding. Canadian law firm Osler projects that the Bitcoin-backed lending market could hit $45 billion by 2030, up from $8.5 billion currently. Galaxy Research previously identified Ledn,

, and Galaxy itself as the leading centralized lenders, together holding 89% of the CeFi lending market. As Bitcoin’s value climbs above $100,000, more long-term holders are choosing to borrow against their assets to avoid capital gains taxes, further fueling the industry’s growth.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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