Ledn to add Tether Gold as loan collateral, expanding Bitcoin-backed lending model
Ledn’s planned addition of Tether Gold lending comes as tokenized commodities expand, with the sector accounting for nearly 17% of the $43 billion RWA market.
(June 18 17:05 UTC) This article has been updated to reflect that Tether Gold-backed loans will be available on Ledn later this year.
Bitcoin lending platform Ledn is expanding its services to include Tether Gold (XAUt), giving investors the ability to hold the tokenized asset and eventually use it as collateral for loans, just as they can with Bitcoin.
Ledn announced Thursday that later this year, clients will be able to use XAUt as collateral for loans instead of selling their holdings for cash. Under the company’s existing lending model, client collateral is held one-to-one and is not rehypothecated, lent out or used to generate yield.