Ledn Secures $50M Bitcoin-Backed Syndicated Loan From Sygnum Bank
Crypto lending platform, Ledn said it has secured a $50 million syndicated loan backed by Bitcoin from the Switzerland-based banking group, Sygnum.
In an announcement, Ledn said the loan will be used to expand its retail lending operations with bank-grade custody for assets, and security for clients’ Bitcoin collateral.
The $50 million loan is syndicated among Sygnum’s institutional clients. A syndicated loan is a large loan provided by a group of lenders, known as a syndicate, to a single borrower.
The loan will allow Ledn to bring additional liquidity to both the crypto sector and the syndicated loan market estimated to be at $1.38 trillion.
“Partnering with Sygnum to secure the first Bitcoin-backed syndicated loan facility is a landmark achievement for Ledn,” said John Glover, chief investment officer at Ledn.
“This collaboration not only underscores our commitment to pioneering innovative financial solutions but also marks a significant step forward in integrating crypto assets into mainstream financial markets,” added Glover.
In July, Sygnum bank said it is considering expanding further into the European market in Q1 2025, in compliance with the upcoming Markets in Crypto-Assets Regulation (MiCA). The landmark framework aims to make the crypto industry in the Eurozone a transparent and secure environment for investors.
Sygnum bank reported a profitable first half of 2024, driven by strong business performance. The firm saw a 500% increase in crypto derivatives trading and a two-fold increase in crypto spot trading volumes, compared to the same period in 2023.
Sygnum showed over 360% increase in loan volumes and more than 1000 daily trades.
“With the first Bitcoin-backed syndicated loan from a fully regulated bank, Sygnum
Read more on cryptonews.com
