Ledn, a digital lending platform, has made waves in the crypto lending space by processing over $1.16 billion in loans in the first half of 2024. The platform offers a range of digital asset-based lending, savings, and trading products, catering to both individual and institutional investors.
One of the standout details from Ledn’s report is the impressive 29.8% quarter-over-quarter increase in retail loans. Excluding loans associated with a refinancing program, retail loans grew from $65.5 million in Q1 to $85 million in Q2. This growth reflects a growing interest among individual investors in leveraging digital assets for borrowing.
North America led the way in Q2, with $17.6 million in processed loans, followed by Latin America with $1.9 million. The increasing adoption of crypto in Latin America can be attributed to economic pressures and political instability, driving more people to seek the benefits of digital assets.
Many investors are turning to Bitcoin and Ethereum-backed loans to access capital while preserving their assets’ growth potential. The recent Bitcoin halving and the emergence of Ethereum ETFs in Asia have further fueled the demand for Ledn’s services.
Institutional loans accounted for a significant share of the total processed loans, with $969 million coming from institutional clients. This surge was driven by the approval of spot Bitcoin ETFs in the US, leading to a rally in Bitcoin prices.
A notable trend among Ledn’s clients is the use of digital asset-backed loans to optimize tax strategies. Borrowing against digital assets remains a non-taxable event, offering significant tax advantages over selling assets.
Ledn offers a range of services, including Bitcoin-backed loans, B2X loans, Dual Cryptocurrency Notes (DCN), and its Growth Account, which offers competitive interest rates. The company is also pioneering third-party proof-of-reserves standards in the digital asset lending industry, enhancing transparency and trust with its monthly Open Book Reports.
With operations in over 120 countries, Ledn aims to provide financial services that help people build long-term wealth through digital asset-based products. The company’s rigorous risk management and underwriting processes ensure high-quality institutional partnerships and continual monitoring of borrowers’ financial positions.
