Ledn Shifts to Bitcoin-Only Loans, Drops Ethereum Support
- Ledn switches to Bitcoin-only lending, dropping Ethereum support.
- Focus on risk reduction and simplified offerings.
- Survived 2022’s collapse, emphasizing security.
Ledn is shifting its focus exclusively to Bitcoin-backed loans, dropping Ethereum support by July 2025. The company, registered in the Cayman Islands, announced this change driven by co-founders Adam Reeds and Mauricio Di Bartolomeo.
Ledn’s decision to concentrate on Bitcoin-only loans signifies a notable move in the cryptocurrency lending sphere, appealing to those valuing simplicity and transparency. Bitcoin’s price and a friendlier regulatory landscape in the U.S. facilitate this shift.
Ledn’s co-founders announced the discontinuation of Ethereum support and yield-generating accounts. The move to a Bitcoin-only model aligns with the company’s core principles. Traditional finance models are being rejected in favor of transparent practices.
“With our new hyper-focus on Bitcoin-only lending, we’re going back to our roots and principles that inspired Bitcoin to begin with,” said Adam Reeds, Co-founder, Ledn.
The company plans to lower interest rates to foster client trust while restructuring its business operations. The new custodial model will ensure that collateral is managed directly by Ledn or partners, eliminating external counterparty exposure.
Ledn’s shift results in Ethereum’s removal from its supported assets, which restricts options for Ethereum holders. This aligns with a vote of confidence in Bitcoin’s stability and reliability within the lending market.
Potential outcomes include a shift towards Bitcoin-dominance in lending and a more secure alternative post-2022 market turmoil. Increased demand for Bitcoin liquidity and favorable regulations are expected to propel market recovery and growth.
