Bitcoin Magazine

Access USD Without Selling Your BTC With Bitcoin Backed Loans

A new lending product from Xapo Bank allows qualifying members to access USD loans using their bitcoin holdings as collateral. This enables bitcoin holders to tap into the fiat value of their assets without having to sell.

Xapo Bank, a licensed bank focused on bitcoin services, launched bitcoin-backed lending this week. Eligible members can now take out loans up to $1,000,000 secured against their bitcoin.

Once approved, the loan funds are instantly deposited into the member’s bank account. The corresponding bitcoin is held in secure storage by Xapo until repayment. This allows members to retain their bitcoin long-term while borrowing against their current value.

Members can select flexible repayment terms from 30 days up to 1 year. There are no early repayment fees or penalties, giving borrowers control over minimizing costs.

According to Xapo Bank CEO Seamus Rocca, the product addresses the need for responsible bitcoin and crypto lending solutions. Many bitcoin holders have previously faced loss of assets from high-risk lending platforms.

Xapo states its bitcoin-backed loans have more conservative loan-to-value ratios from 20% to 40% to protect member assets. Automated controls around repayment and loan health monitoring further reduce risks compared to other crypto lending products.

The launch comes as bitcoin holders increasingly look to access the value of their holdings without asset sales. Selling bitcoin to cover short-term financing needs can result in lost future upside.

However, experts urge caution when leveraging bitcoin holdings, as price declines could trigger collateral liquidations if loans become undercollateralized. Thorough due diligence on lender practices and risks is advised.

This post Access USD Without Selling Your BTC With Bitcoin Backed Loans first appeared on Bitcoin Magazine and is written by Vivek Sen Bitcoin.

• Metaplanet Inc. purchased 150 Bitcoin, increasing its total holdings to 3,200 BTC.
• The average purchase price for the latest acquisition was 12,526,226 yen per BTC.
• The company continues using capital market activities to fund its Bitcoin strategy.

Metaplanet Inc. has further increased its Bitcoin reserves, acquiring an additional 150 BTC at an average price of 12,526,226 yen per Bitcoin. The total transaction amounted to 1.879 billion yen. With this latest purchase, the Tokyo-based firm now holds a total of 3,200 Bitcoin, valued at 40.331 billion yen in aggregate.

According to the notice shared on X, the company has been actively expanding its Bitcoin treasury. It officially made Bitcoin accumulation a core business strategy in December 2024. These purchases are funded through capital market activities, including the issuance of bonds and stock acquisition rights.

Capital Markets Strategy Fuels Bitcoin Accumulation

Metaplanet continues raising capital to support its Bitcoin strategy. The firm has issued multiple stock acquisition rights and zero-coupon bonds to secure funds for purchases. 

On March 18, 2025, the company’s board approved the issuan…

The post Metaplanet’s Bitcoin Bet: Tokyo Firm Adds Millions More in BTC to Treasury appeared first on Coin Edition.