Verified against ledn.io on 6 Sep 2026. Rates are tiered and change; confirm your exact rate before borrowing.
How Ledn's Bitcoin loan works
Ledn is a centralized (CeFi) lender operating since 2018, with over $10 billion in loan originations. You deposit native bitcoin as collateral and borrow USD, your local currency, or USDC against it — up to 50% of your collateral's value. Loans run on a 12-month term but can be prepaid at any time without penalty. There are no credit checks; your bitcoin secures the loan.
Ledn also offers B2X, a product that uses the borrowed funds to buy an equal amount of bitcoin — a leverage play that increases your exposure but also your liquidation risk. For most borrowers the standard Bitcoin-backed loan is the relevant product.
Rates & fees
Ledn uses transparent tiered pricing from about 11.9% down to 9.25% APR, with larger loans getting the lower rates. Ledn charges a 2% admin fee on the loan (and no prepayment penalty), so your real first-year cost runs roughly two points above the headline rate. The other variable is loan size, which sets your tier.
LTV & liquidation
Your maximum starting LTV is 50% — borrow $25,000 against $50,000 of bitcoin. As bitcoin falls and your LTV rises, Ledn sends early margin-call alerts and offers auto-top-up, which automatically moves spare BTC from your account into the loan to keep your LTV healthy. Liquidation sits around the 80% level. Notably, Ledn has said its early alerts and auto-top-up helped many clients avoid liquidation through a recent 32% bitcoin drawdown, though individual outcomes vary by position.
As always, the safest move is to borrow well below the 50% maximum. You can model the exact margin-call and liquidation prices with the liquidation calculator.
Custody & safety — why we rate Ledn Lower relative risk
Source: Ledn proof-of-reserves & transparency ↗
On its Custodied product, Ledn ring-fences your collateral so it cannot be lent out to third parties — eliminating the rehypothecation risk that sank several CeFi lenders in 2022. Beyond that, Ledn publishes regular proof-of-reserves attestations and a third-party Open Book report, is SOC 2 Type 2 certified, and operates through regulated entities. Combined with its since-2018 track record and zero-liquidation drawdown performance, that earns our Lower risk rating. See how we score lenders on the methodology page.
What a $25,000 Ledn loan costs
Borrow more and your rate falls toward 9.25%, lowering the effective cost per dollar borrowed. Figures are illustrative — check your live quote.
Pros & cons
Strengths
- Low $1,000 minimum — accessible to small borrowers
- No prepayment penalty — repay early anytime
- Regular proof-of-reserves attestations and SOC 2 Type 2 — verify ↗
- Custodied option: collateral not rehypothecated
- Loans typically funded within ~24 hours
- Strong track record since 2018
Trade-offs
- Rates higher than DeFi (which uses tokenized BTC)
- Best rates require larger loans
- 2% admin fee on top of interest
- Standard (non-custodied) option does allow rehypothecation
- Centralized counterparty — not self-custody
Who Ledn is best for
Ledn suits borrowers who want a trustworthy, transparent native-Bitcoin loan from $1,000 and value proof-of-reserves over chasing the absolute lowest rate. If you want the most lenient liquidation buffer and zero fees, compare it with Strike; if you'd accept tokenized BTC for a ~5% rate, DeFi is cheaper. See the full Ledn vs Strike comparison.
FAQ
What is Ledn's Bitcoin loan interest rate?
Tiered from about 11.9% APR down to 9.25% for larger loans, plus a 2% admin fee on the loan.
What is the minimum loan at Ledn?
$1,000, up to a maximum of $1,000,000 — one of the more accessible minimums available.
Does Ledn lend out my Bitcoin?
Not on its Custodied loans — collateral is ring-fenced and not rehypothecated, with regular proof-of-reserves attestations. The separate Standard option does allow re-lending, so confirm which you choose.
Is Ledn safe?
It's operated since 2018, is SOC 2 Type 2 certified, publishes regular proof-of-reserves attestations, and says its safeguards helped many clients avoid liquidation through a 32% drop. We rate it lower relative risk, though no loan is risk-free.
See Ledn next to every other lender
Live rates, LTV, liquidation thresholds, custody, and minimums for every lender we track in one verified table.
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