Crypto Loans

Crypto loans are a type of short-term lending secured against cryptocurrencies. Here, borrowers can use the loan capital for various reasons – this might be to diversify investments into other asset classes, create liquidity to grow a business, reinvest in public markets, make a big-ticket purchase and so on.

How Does Crypto Lending Work?

Crypto loans have terms of a few weeks or months, and you will be able to borrow for around five years at maximum.

We help borrowers secure competitive, high-value finance using mainstream cryptocurrencies as collateral. We can arrange crypto finance for you regardless of your nationality or country of residence. We can source and negotiate multi-million pounds deals and can finance in cross-border or international deals.

Using your cryptocurrency as a collateral:

When you take out a crypto loan, your cryptocurrency is used as collateral, just as your house or car would be used as collateral for a mortgage loan or auto loan. And like a traditional loan, crypto loans are paid off with interest over a set time.

Crypto loans are like personal loans in that they can typically be used for anything without many restrictions. For instance, you might use a crypto loan for a home renovation, to start a business or to consolidate high-interest debt.

How do Crypto Loans Work?

Crypto loans are typically offered as collateralized loans or secured loans meaning the loan is secured by your crypto holdings.

Crypto Loans With Collateral:

Collateralized crypto loans require you to pledge your cryptocurrency as collateral. Like a mortgage or car loan, your collateral can be seized as payment if you do not pay back your loan.

Crypto Loans Without Collateral

Uncollateralized loans, in comparison, do not require collateral. Instead, approval depends upon other factors that ensure you can repay your loan, like a history of responsible credit use and paying on time. Uncollateralized loans are more commonly known as unsecured loans.