- Tether made a strategic, undisclosed investment in Ledn, a bitcoin-backed lending platform that survived the 2022 crypto collapse.
- The investment is intended to expand access to collateral-backed credit using crypto rails, supporting self-custody and financial resilience for users.
- The partnership is expected to result in smoother and more efficient USD₮ flows for Ledn’s loan disbursements and repayments, helping Ledn expand its market reach.
Tether has taken a strategic stake in Ledn, a bitcoin-backed lending platform, as it looks to expand credit services built on digital asset collateral, the company said Tuesday.
The size of the investment was not disclosed, yet Tether framed the move as part of a broader effort to back real-world financial services built on crypto rails. CEO Paolo Ardoino described the deal as support for self-custodial, collateral-backed credit.
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.
Paolo Ardoino, CEO of Tether.Ledn offers loans secured by Bitcoin, giving users access to liquidity without selling their holdings. The firm was one of the few crypto lenders to stay solvent through the 2022 sector collapse that wiped out BlockFi, Voyager, Celsius, and Genesis, and has since shifted to a Bitcoin-only model to simplify its product line.
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Better USDT Flows For Loans
Ledn added that the partnership should support better funding terms, faster product launches, and expansion into more markets, while maintaining a focus on asset safety. Clients can expect “smoother and more efficient USD₮ flows for loan disbursements, repayments, and trade,” the firm said.
Tether’s investment comes a few weeks after the company reported a net income of US$10 billion (AU$15 billion) for Q3 of this year, and also expanded USDT’s supply by US$17 billion (AU$26.6 billion) in the same period. Ardoino described the stablecoin as the “biggest financial inclusion success story in the history of humanity”.
The company also acquired about US$1 billion (AU$1.53 billion) in Bitcoin to its reserve wallet at the close of Q3 as well, as Crypto News Australia reported.
Read more: Singapore to Launch Bitcoin and Ether Perpetual Futures, Bringing Regulated Structure to a US$187B Crypto Market
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