Tether Invests in Ledn to Expand Bitcoin-Backed Lending Market

Tether, the issuer of the world’s largest stablecoin USDT, has made a strategic investment in Ledn, a leading platform for bitcoin-backed consumer loans. The announcement, made on November 18, 2025, highlights Tether’s focus on building real-world financial infrastructure that allows users to access credit without selling their digital assets.

Ledn’s Growth and Market Position

Since its inception, Ledn has originated over $2.8 billion in bitcoin-backed loans, including more than $1 billion in 2025 alone—its strongest year to date. In Q3 2025, the company processed $392 million in loan originations, nearly matching its entire 2024 volume. Ledn now reports annual recurring revenue (ARR) exceeding $100 million, reflecting robust demand for secure, asset-backed lending products.

Ledn’s platform features advanced custody, risk management, and liquidation systems designed to protect borrowers’ bitcoin collateral throughout the loan lifecycle. The company serves both retail and institutional clients, positioning itself for continued expansion in a sector projected to grow from $7.8 billion in 2024 to over $60 billion by 2033, according to Data Intelo’s crypto-backed lending market outlook.

• Total Loans Originated: >$2.8 billion
• 2025 Volume: >$1 billion
• Q3 2025: $392 million
• ARR: >$100 million

Strategic Alignment: Tether and Ledn

Tether CEO Paolo Ardoino emphasized the shared vision: “Our investment reflects Tether’s belief that financial innovation should empower people. Together with Ledn, we are expanding access to credit without requiring individuals to sell their digital assets. This approach strengthens self-custody and financial resilience, while creating real-world use cases that reinforce the long-term role of digital assets as essential pillars of a more inclusive global financial system.”

The partnership combines Tether’s stablecoin liquidity leadership with Ledn’s proven lending infrastructure, aiming to accelerate adoption of bitcoin-backed credit products globally.

Outlook for Bitcoin-Backed Lending

With institutional and retail interest in non-custodial borrowing rising, the collaboration positions both companies to capture growth in alternative lending. Bitcoin-backed loans allow holders to unlock liquidity while maintaining exposure to potential upside, a model gaining traction amid increased digital asset adoption.

In summary, Tether’s investment in Ledn reinforces its commitment to practical financial applications of digital assets, supporting a lending platform that has already originated $2.8 billion in loans and is poised for further expansion in the rapidly growing bitcoin-backed credit market.