Use Your Bitcoin To Get A Loan - LEDN

[@chriswood7165]

On the next bull run crypto loans and drawing on the equity will be huge , and when the conciseness of governments changes and corporation panic FOMO this will be great fun to put your BTC up for loan auction and watch the offers role in.

[@UKBitcoinMaster]

Cracking show and interview Ben... and really interesting 👍

[@BTCSessions]

Thanks Brian, always great to have you here :)

[@cryptohi8627]

What happens if the customer doesn’t repay? If the price of BTC tanks, and the customer doesn’t pay the margin, ledn is left holding the bag.

[@mauriciodibartolomeo9899]

Thank you for your comment. If the price of BTC drops such that a client's loan-to-value ratio goes above 70%, Ledn will send a notification to the client requesting them to deposit additional bitcoin to top up their collateral or to make a partial payment on their loan amount to re-balance the loan-to-collateral value ratio. And only if the client does not make an additional collateral deposit or partial payment after our communications, Ledn has the right to sell enough collateral to bring the loan-to-value ratio back to 50%. This whole process will be an ongoing conversation between Ledn and its client, it will not be a surprise to the client.

[@christiankuhl2790]

Is Ledn Inc a regulated entity? It seems a clever business model with an attractive return (12+2%) on collateralize loans. I wonder how sustainable it is. It seems to be (or will be) a competitive field with low barriers to entry - ? On the other side of the equation it is generally not advisable to leverage (take out a loan) on a highly speculative asset (BTC) in your portfolio. Particularly if you live in an emerging market with uncertain conditions. Not financial advice - just saying...

[@mauriciodibartolomeo9899]

Hi Christian - thanks for your comments. Ledn complies with Canadian FINTRAC regulations and completes AML/KYC checks on its clients. As a fully-compliant company, Ledn matches funds from top institutions and investors to its clients. Ledn has put together detailed processes in order to ensure we are able to lend against Bitcoin and our rates are reflective of market conditions for this asset class. Our loans are completely flexible and can be paid back at any time without fees or penalties. Also, in emerging economies, like Venezuela - where I am from, Bitcoin can many times be your highest quality asset. Although highly speculative to some, it can be a safe haven investment in countries where holding other currencies such as USD is banned and/or other valuable assets like gold or even food stock can be seized by force. Every person’s circumstance is different and we aim to help anyone who can benefit from our service.

[@Ashley-jn3eu]

Christian Kuhl hi good day to you do you have Btc?

[@kc4ril]

@@mauriciodibartolomeo9899 Wow, what you've done is really amazing. I really want to buy a nice used car with cash but can't justify putting that money into anything other than bitcoin, but this could be the perfect option for me if i can just put another 20k into bitcoin and then borrow 10k! I understood that it's only available in Canadian dollars at the moment, but since it's all online, couldn't anyone borrow Canadian dollars or they need to be Canadian citizens?

[@paddyrangihaeata6568]

I have recently brought a few crypto coins.. Since I am based in Australia & see that the current btc is around $1,100AUD per coin the 3rd halving seems to predict a bullish outcome over the next 2 yrs which will also include its downturns as based on the previous 2 halving. If this is so...would your loan facility to borrow allow me to purchase more btc's so I can trade the market when its time to sell at a high return rather than let my collateral sit in storage with Bitgo or where ever LEDN chooses to store clients funds?

[@cryptoonestop6877]

yes

[@seanspencer1336]

How can this work for people who doesn’t live in Canada? I very much want to join and would like to borrow $15k and take out $7k.

[@BTCSessions]

Hey Sean, Ledn is indeed available in various other countries. If you contact them and let the team know where you're from, they should be able to tell you if the service is available to you.

[@joanne2445]

It is a fraud. If the price drops, they get all your bitcoin and you get nothing at all. Please do not enter money here if you dot want to lose all your bitcoin.

[@cryptoonestop6877]

Its called a margin call. You get liquidated if you don't bring your LTV back to 50% in a timely manner.

[@scwei7405]

I would rather pay tax and cash out for cars and home's a lot less than 50 percent in tax .but you don't get your Bitcoin back . And no worries about paying a loan back or Bitcoin price drops