Tether Invests in Ledn Bitcoin Loan Platform
Background: Tether Invests in Ledn
Stablecoin issuer Tether has invested in Ledn, a company specializing in consumer loans backed by Bitcoin as collateral. The move, announced on Tuesday, is aimed at supporting the development of financial infrastructure that enables both businesses and individuals to obtain liquidity and credit using their Bitcoin holdings, without the need to sell their assets. Reporting via Cointelegraph.
Ledn was established in 2018 and now operates in over 100 countries, providing services such as custody, risk management, and liquidation for its users. According to the company, it originated $392 million in loans secured by Bitcoin during the third quarter of 2025. CEO Adam Reeds stated the company anticipates “demand for Bitcoin financial services to continue soaring,” yet the exact value of Tether’s investment has not been disclosed.
Market Reaction to Crypto-Backed Loans
The funding comes at a time when the market for Bitcoin and crypto-backed loans is experiencing renewed activity, following the collapse of Celsius in July 2022. Institutional involvement is also growing: In May 2025, Cantor Fitzgerald, Maple Finance, and FalconX completed their first Bitcoin-backed lending transaction, indicating increasing interest among Wall Street firms.
Ledn’s expansion is part of a broader trend. For example, in July 2025, Block Earner launched Bitcoin-backed home loans in Australia, offering loans up to 50% of a property’s value with digital assets secured by Fireblocks. Additionally, the US House of Representatives introduced new legislation in July 2025, asking federal mortgage agencies to factor in regulated cryptocurrency holdings during mortgage underwriting.
What’s Next for Bitcoin Loan Platforms
Recent activity suggests a resurgence in Bitcoin lending across the crypto sector. Market studies are optimistic about the future: a February 2025 report from Canadian law firm Osler, Hoskin & Harcourt LLP estimated the Bitcoin-backed lending market may reach $45 billion by 2030.
Tether’s investment in Ledn joins other high-profile moves, such as reports of an anticipated $1.15 billion investment by Tether in Neura, a German robotics firm, and other ventures linking traditional finance with crypto assets.
For ongoing developments in cryptocurrency lending and related trends, visit Vizi’s cryptocurrency news section.
