Tether invests in Ledn to boost global Bitcoin-backed lending, expanding secure credit access and strengthening financial infrastructure for businesses and individuals worldwide.
The largest company in the digital asset industry, Tether, recently announced a strategic investment. The firm has sponsored Ledn, a global market leader in consumer Bitcoin-backed loans. This spending is focused on creating important new financial infrastructure.
The infrastructure enables businesses and individuals to have access to liquidity and credit. This is done by collateralizing their Bitcoin holdings without the need for selling their assets. Consequently, this approach provides both self-custody and financial resilience for users.
Ledn’s Growth Validates Bitcoin-Only Lending Model
Ledn, which was formed in 2018, now offers its services to users in more than 100 countries. Its platform has robust custody, liquidation, and risk management systems. These systems guarantee that client assets are safe throughout the life of every loan.
Related Reading: Crypto News: Tether Pursues Major Robotics Deal As It Pushes Beyond USDT | Live Bitcoin News
The company has seen huge growth and market validation in 2025. Ledn has issued more than $2.8 billion in Bitcoin-backed loans since it was founded. Furthermore, the firm has origin more than $1 billion in 2025 alone, its strongest year yet.
In the third quarter of 2025, or Q3, Ledn originated $392 million in loans. This volume is almost the same as was generated throughout the entire prior year, 2024. The company has reached an annual recurring revenue (ARR) of more than $100 million today.
This is strong revenue considering the rising global demand for secure, Bitcoin-backed lending products. Ledn’s emphasis on transparency helped them weather the 2022 crypto lending crisis. Specifically, it has a fully collateralized, Bitcoin-only model.
Investment Targets $60 Billion Crypto Lending Market
The investment comes in the context of rapidly growing demand for such credit products. The crypto-backed lending industry is expected to grow enormously in the next decade. As per the market outlook reports, the sector would have the potential to grow from $7.8 billion in 2024 to more than $60 billion by 2033.
This expansion is due to the growing need for alternative lending solutions. These solutions offer liquidity to enterprises and individuals in a flexible way without requiring liquidation of their digital assets.
Paolo Ardoino, CEO of Tether, spoke on the shared vision. He said financial innovation must be fundamentally empowering to people. Together with Ledn, Tether is increasing access to credit without requiring people to sell their assets.
Adam Reeds, co-founder and CEO of Ledn, said the collaboration is bringing together two market leaders. He said Ledn’s loan book is on course to grow by almost three times from 2024 levels. Therefore, the investment ensures that Ledn is in a good position to lead the evolving market.
In essence, this collaboration wants to support the long-term function of digital assets. They view digital assets as necessary building blocks to a more inclusive global financial system. Ledn is well-placed to enhance credit access in the retail and institutional levels.
For both companies, the partnership also offers new means of wealth preservation. Ultimately, this strategic move makes sense and provides validation to the increasing utility of keeping Bitcoin as secure collateral in the modern financial world.