Bitcoin-Backed Loans Unlock Real Estate Market for Crypto-Rich Investors
Bitcoin-Backed Loans Open Door for Property Purchasers
Increasingly, Bitcoin holders are leveraging crypto-backed loans to purchase property—without losing a single satoshi or paying capital gains tax.
“It’s becoming more mainstream by the day,” declared Mauricio Di Bartolomeo, co-founder of cryptocurrency lender Ledn. “Early adopters, entrepreneurs, high-net-worth crypto investors who don’t necessarily qualify for traditional lending—this is how they’re gaining access to property.”
How It Works: No Sale, No Tax
Bitcoin-backed lending allows clients to borrow against their BTC holdings—typically a 50% loan-to-value (LTV) ratio—and be paid back in fiat or stablecoins. Since lending is not considered taxable in most jurisdictions, clients get access to liquidity while still being subject to potential gains in the price of BTC.
“Borrowing against your Bitcoin as collateral does not usually trigger capital gains tax because you are not selling your Bitcoin,” Di Bartolomeo said.
Quick Funding, Flexible Terms
Funding of the loan is fast, with a minimum of just 9.6 hours using Ledn. The loans are used by borrowers either as a deposit or to purchase property outright. There are no monthly repayments; interest accumulates over time and borrowers are free to repay at any time without incurring a penalty—if the LTV is limited below 60%.
If Bitcoin increases in value, one can withdraw excess collateral. But if BTC declines and the LTV reaches 80%, the lender auto-liquidates sufficient BTC to repay the loan, keeping the transaction safe while letting the borrower retain the property.
No Credit Check, Only Bitcoin
Unlike conventional lenders, crypto lenders such as Ledn do not perform credit checks. Having 2:1 collateral provides lenders with assurance, particularly as Bitcoin is traded 24/7 and provides extensive liquidity.
“Bitcoin is the world’s cleanest collateral,” Di Bartolomeo stated. During Q1 2025, Ledn disbursed more than $300 million worth of retail loans and is projected to reach more than $1 billion by the end of the year.
In 2024 alone, customers allegedly withdrew more than 1,000 BTC as excess collateral due to increasing prices—far exceeding what they paid in interest.
They prefer this method in order to acquire hard assets such as property without selling their top-performing investment. “They want to invest in a new property without selling their Bitcoin,” Di Bartolomeo said.
Demand Surges Among High-Net-Worth Crypto Owners
Xapo Bank CEO Seamus Rocca also testified in May that BTC holders are becoming more and more at ease with taking advantage of crypto as collateral. Xapo began lending against BTC with a maximum $1 million USD loan in March.
Increasing confidence, loans backed by crypto are a powerful financial tool—without compromise enabling real estate purchase.
Read More
Anthony Pompliano to Lead $750M Bitcoin-Buying SPAC Merger with Columbus Circle
Vietnam passes crypto assets regulation in new digital tech law
Bitcoin-Backed Loans Unlock Real Estate Market for Crypto-Rich Investors
Bitcoin-Backed Loans Open Door for Property Purchasers
Increasingly, Bitcoin holders are leveraging crypto-backed loans to purchase property—without losing a single satoshi or paying capital gains tax.
“It’s becoming more mainstream by the day,” declared Mauricio Di Bartolomeo, co-founder of cryptocurrency lender Ledn. “Early adopters, entrepreneurs, high-net-worth crypto investors who don’t necessarily qualify for traditional lending—this is how they’re gaining access to property.”
How It Works: No Sale, No Tax
Bitcoin-backed lending allows clients to borrow against their BTC holdings—typically a 50% loan-to-value (LTV) ratio—and be paid back in fiat or stablecoins. Since lending is not considered taxable in most jurisdictions, clients get access to liquidity while still being subject to potential gains in the price of BTC.
“Borrowing against your Bitcoin as collateral does not usually trigger capital gains tax because you are not selling your Bitcoin,” Di Bartolomeo said.
Quick Funding, Flexible Terms
Funding of the loan is fast, with a minimum of just 9.6 hours using Ledn. The loans are used by borrowers either as a deposit or to purchase property outright. There are no monthly repayments; interest accumulates over time and borrowers are free to repay at any time without incurring a penalty—if the LTV is limited below 60%.
If Bitcoin increases in value, one can withdraw excess collateral. But if BTC declines and the LTV reaches 80%, the lender auto-liquidates sufficient BTC to repay the loan, keeping the transaction safe while letting the borrower retain the property.
No Credit Check, Only Bitcoin
Unlike conventional lenders, crypto lenders such as Ledn do not perform credit checks. Having 2:1 collateral provides lenders with assurance, particularly as Bitcoin is traded 24/7 and provides extensive liquidity.
“Bitcoin is the world’s cleanest collateral,” Di Bartolomeo stated. During Q1 2025, Ledn disbursed more than $300 million worth of retail loans and is projected to reach more than $1 billion by the end of the year.
In 2024 alone, customers allegedly withdrew more than 1,000 BTC as excess collateral due to increasing prices—far exceeding what they paid in interest.
They prefer this method in order to acquire hard assets such as property without selling their top-performing investment. “They want to invest in a new property without selling their Bitcoin,” Di Bartolomeo said.
Demand Surges Among High-Net-Worth Crypto Owners
Xapo Bank CEO Seamus Rocca also testified in May that BTC holders are becoming more and more at ease with taking advantage of crypto as collateral. Xapo began lending against BTC with a maximum $1 million USD loan in March.
Increasing confidence, loans backed by crypto are a powerful financial tool—without compromise enabling real estate purchase.
Read More
Anthony Pompliano to Lead $750M Bitcoin-Buying SPAC Merger with Columbus Circle