Tether Targets Bitcoin Lending Growth with Strategic Investment in Ledn

Tether Enters the Bitcoin Lending Market

(Image source: Tether)

On November 18, 2025, Tether announced a strategic investment in Ledn, a prominent Bitcoin-backed lending platform. This move underscores Tether’s ambition to broaden its footprint in crypto-collateralized loans, creating opportunities for users and businesses to access liquidity without selling their Bitcoin holdings.

The collaboration also aligns with Tether’s vision of building financial infrastructure that works in the real world, turning Bitcoin into a more flexible financial tool rather than a purely speculative asset.

Ledn’s Infrastructure Powers Bitcoin Loans

Ledn has experienced rapid growth in the crypto lending sector. Its success is built on a strong foundation, including:

• Advanced custody solutions to safeguard digital assets
• Robust risk management frameworks to maintain financial security
• Efficient clearing systems to streamline lending operations

These elements collectively ensure that borrowers’ Bitcoin remains secure throughout the loan lifecycle.

Since its inception, Ledn has issued over $2.8 billion in Bitcoin-backed loans, with 2025 alone surpassing $1 billion—its strongest year to date. In Q3 2025, loan disbursements reached $392 million, almost matching the total for 2024. Ledn’s annual recurring revenue (ARR) exceeded $100 million, reflecting a growing demand for controlled, low-risk Bitcoin lending solutions.

Bitcoin-Backed Loans: A Market Poised for Expansion

The Bitcoin lending market is projected to grow from $780 million in 2024 to over $60 billion by 2033, according to Data Intelo. The expansion is driven by the increasing demand for mechanisms that allow users to leverage crypto as collateral without liquidating their holdings.

Ledn, with its mature centralized lending infrastructure, is well-positioned to serve both retail clients and institutional borrowers as the market scales.

Tether’s Vision: Credit Without Selling Assets

Tether CEO Paolo Ardoino highlighted the significance of this strategic move:

“Financial innovation should empower users. Through Ledn, people can access credit without selling digital assets. This enhances financial autonomy and promotes a more inclusive global financial system.”

Key objectives for Tether include:

• Establishing Bitcoin as a long-term financial instrument
• Promoting self-custody and asset flexibility
• Expanding practical adoption of USDT and related assets worldwide

Ledn’s Perspective: Meeting Accelerating Demand

Ledn co-founder and CEO Adam Reeds expressed optimism about the partnership:

“Our lending volume is set to nearly triple compared to 2024, validating our focus on Bitcoin. Partnering with Tether enables us to maintain leadership and drive innovation as the market evolves.”

Ledn believes that Tether’s resources complement its platform infrastructure, facilitating entry into new markets and broadening user reach.

Unlocking Flexible Asset Management

The essence of the Tether-Ledn collaboration lies in redefining asset management:

• Users can access liquidity without selling their Bitcoin
• Long-term holding positions remain intact
• Short-term liquidity needs are met simultaneously

This approach strengthens Bitcoin’s role as a usable, sustainable financial asset, while creating practical use cases for DeFi and crypto finance.

Conclusion

From market trends to user demand, Bitcoin-backed lending is entering a phase of significant growth. Tether’s strategic investment in Ledn not only accelerates Ledn’s expansion but also extends USDT’s utility across global markets.

As the lending ecosystem matures, Bitcoin’s function as collateral will become increasingly central—and this partnership represents a critical step in evolving crypto finance to the next level.

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