Tether Partners with Ledn to Accelerate Bitcoin-Backed Lending and Liquidity Access

TLDR

• Tether invests in Ledn to grow bitcoin-backed lending, supporting credit without selling BTC.

• Ledn originated $2.8 billion in bitcoin-backed loans, including $1 billion in 2025.

• The bitcoin-backed lending market is expected to grow nearly eightfold by 2033.

• Tether’s investment aligns with expanding real-world use cases for digital assets.

Tether, the world’s largest stablecoin issuer, has made a strategic investment in Ledn, a leading provider of bitcoin-backed consumer loans. The investment is designed to help Ledn expand its access to credit secured by digital assets, particularly Bitcoin (BTC). As more people seek liquidity without selling their Bitcoin, this partnership aims to address the growing demand for such financial products.

Ledn has become one of the standout companies in the Bitcoin-backed lending sector, with a focus on enabling individuals to access credit while retaining ownership of their digital assets. With this investment, Tether is positioning itself to play a more significant role in digital asset-backed lending, supporting the long-term use of cryptocurrencies for financial resilience and wealth preservation.

Ledn’s Growth and Bitcoin-Backed Lending Market Expansion

Since its inception, Ledn has originated over $2.8 billion in Bitcoin-backed loans, with more than $1 billion of that total coming in 2025 alone. This growth is a reflection of the increasing demand for liquidity solutions that do not require users to liquidate their digital assets. In the third quarter of 2025, Ledn originated $392 million in loans, nearly matching its entire 2024 loan volume.

The Bitcoin-backed lending market is poised for further growth, with industry forecasts suggesting it will expand nearly eightfold by 2033. This growth will be driven by the rising demand for alternative credit solutions, offering individuals and enterprises the ability to access liquidity while holding onto their assets. Ledn is well-positioned to capitalize on this trend, and Tether’s investment will provide the company with additional resources to scale its operations globally.

Tether’s Commitment to Expanding Digital Asset Services

Tether CEO Paolo Ardoino explained that the firm’s investment in Ledn reflects a commitment to supporting financial innovation built on digital asset infrastructure. “Together with Ledn, we are expanding access to credit without requiring individuals to sell their digital assets. This approach strengthens self-custody and financial resilience,” Ardoino said.

This investment is part of Tether’s broader strategy to develop real-world financial services that are rooted in blockchain technology.

As part of the partnership, Ledn’s robust infrastructure, including advanced custody and risk management systems, will play a key role in ensuring that borrowers’ Bitcoin remains secure throughout the loan term. This security is essential for attracting more customers and fostering trust in the emerging space of Bitcoin-backed lending.

Outlook for Bitcoin-Backed Lending and Tether’s Role

As demand for Bitcoin-backed lending continues to grow, Tether’s strategic investment in Ledn positions both companies to be at the forefront of this emerging market. Ledn’s decision to focus exclusively on Bitcoin as collateral, along with its streamlined offering, as a result has enabled it to survive in a sector that saw several firms collapse in 2022.

Adam Reeds, co-founder and CEO of Ledn, emphasized the strategic importance of the partnership: “We expect demand for Bitcoin financial services to continue soaring, and this collaboration with Tether ensures that Ledn remains well-positioned to lead as the market continues to evolve and grow.”

With Tether’s backing, Ledn is, as a result, poised to expand its reach, offering credit services to both retail and institutional clients while continuing to innovate in the space.

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