- Tether invests in Ledn as demand for Bitcoin-backed credit accelerates across markets.
- Ledn surpasses $1B in loans for 2025 and reports annual recurring revenue above $100M.
- Data Intelo projects crypto-backed lending to grow from $7.8B in 2024 to $60B by 2033.
Tether has taken a decisive step into Bitcoin-secured credit by investing in Ledn, a long-standing lender known for its focus on fully collateralized Bitcoin loans. The investment, whose size has not been revealed, adds fresh momentum to a lending model that allows customers to unlock liquidity without selling their Bitcoin.
Tether Partners With Ledn to Accelerate Bitcoin Loan Growth (Source: X)
Tether: A Push Toward Accessible, Self-Custodied Credit
For Tether, the decision fits into an ongoing effort to strengthen real-world financial rails that sit on top of digital asset infrastructure. Paolo Ardoino, Tether’s chief executive, said the company sees long-term value in credit models that protect self-custody while widening access to capital. He explained that the joint effort aims to help borrowers preserve their holdings and still raise short-term funds when needed.
“Our investment reflects Tether’s belief that financial innovation should empower people,” Paolo Ardoino said. “Together with Ledn, we are expanding access to credit without requiring individuals to sell their digital assets.”
The investment also signals a broader shift in Tether’s strategy. Beyond operating the world’s largest stablecoin, the company is leaning into financial services that connect digital assets with traditional credit needs. Linking up with a specialized lender like Ledn gives Tether a vehicle to expand its footprint across markets where Bitcoin-secured borrowing is gaining renewed interest.
“This approach strengthens self-custody and financial resilience, while creating real-world use cases that reinforce the long-term role of digital assets as essential pillars of a more inclusive global financial system,” he emphasized.
Ledn’s Lending Surges to New Highs in 2025
Ledn enters this partnership during its strongest year to date. Since launching, the company has issued more than $2.8 billion in Bitcoin-backed loans. Its 2025 performance stands out even more. The platform has already originated over $1 billion in loans this year alone.
In the third quarter, it issued $392 million, almost reaching its total lending volume for 2024 in just three months. The company now reports annual recurring revenue above $100 million, highlighting a level of demand that exceeds anything it saw before the broader market downturn of 2022.
That year forced many centralized crypto lenders, including BlockFi, Celsius, Voyager Digital, and Genesis, to shut down. Ledn avoided that outcome, crediting its survival to conservative risk controls, a Bitcoin-only model, and strict collateral requirements.
Adam Reeds, Ledn’s chief executive and co-founder, said the firm’s loan book is on pace to nearly triple compared with last year. According to Reeds, the company’s narrow focus on Bitcoin reduced operational risk and helped it scale during a period when many competitors were forced off the market.
“This investment brings together two market leaders to shape the future of the bitcoin-backed lending market,” said Adam Reeds, co-founder and CEO of Ledn. “As Ledn’s loan book is on track to nearly triple from our 2024 levels, it validates our decision to go all-in on bitcoin.”
Risk-First Systems Set Ledn Apart
Much of Ledn’s growth is tied to the way it manages client collateral. Its custody and liquidation systems were designed to secure assets throughout the life of a loan. The company maintains a fully collateralized structure, runs regular third-party Proof of Reserves checks, and operates through regulated VASP entities where applicable. This framework became a core differentiator in 2022, when weak risk controls caused failures across rival platforms.
Ledn’s approach has drawn interest from both retail and institutional borrowers who want access to liquidity but prefer not to sell Bitcoin, particularly during periods of long-term accumulation. The platform’s infrastructure has become central to its stability, and Tether’s backing is expected to reinforce that foundation.
A Market Poised for Significant Expansion
The broader crypto-secured lending market is now entering a period of rapid growth. Data Intelo estimates that the sector, valued at $7.8 billion in 2024, may exceed $60 billion by 2033. The growth is driven primarily by borrowers looking for credit options that protect long-term digital asset positions.
As adoption expands, firms offering transparent loan structures and clear collateral rules are gaining more traction. Ledn’s strong performance in 2025 places it near the front of that trend. With Tether’s support, the company plans to broaden access to Bitcoin-secured borrowing across retail and institutional channels. Both companies say the partnership creates space for new financial products built around Bitcoin as a core asset.
