Digital asset provider, Tether has invested in Ledn, a global market leader in consumer Bitcoin-backed loans. Tether confirmed the development in a blog post on Tuesday, noting that the investment underscores its commitment to building real-world financial infrastructure that empowers individuals and businesses to access credit without selling their digital assets. 

As revealed, Ledn’s infrastructure includes advanced custody, risk management, and liquidation systems that ensure clients’ digital assets backing their loan remain secure throughout the life of each loan. Similarly, the firm is also well-positioned to expand access to credit across both retail and institutional markets as the Bitcoin-backed lending market potentially enters a phase of significant growth.

In addition, it’s also important to note that allowing borrowers to use their Bitcoin as collateral rather than other assets opens the door to preserving wealth, building financial resilience, and supporting long-term use cases for decentralized technology.

Since its founding, Ledn has originated over $2.8 billion in Bitcoin-backed loans. In 2025 alone, it originated over $1 billion, with $392 million in Q3 2025 marking its strongest year yet. The company now reports annual recurring revenue (ARR) exceeding $100 million, highlighting the increasing demand for secure, Bitcoin-backed lending products.

Tether CEO reacts to the development

Reacting to this development, the chief executive officer of Tether, Paolo Ardoino, noted that the investment reflects Tether’s belief in financial innovation empowering individuals. He added that partnering with Ledn enables individuals to access credit without needing to sell their digital assets. Ardoino explained that this approach enhances self-custody and financial resilience while creating real-world use cases that reinforce the long-term importance of digital assets as key components of a more inclusive global financial system.

Adam Reeds, co-founder and CEO of Ledn, also commented on the development, stating that this investment brings together two market leaders to shape the future of the Bitcoin-backed lending industry. He also added that he anticipates continued growth in demand for Bitcoin financial services in the coming years and is excited about the opportunities ahead in this space.

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