Cryptocurrency company LEDN raised $ 70 million on BTC mortgages
Cryptocurrency company LEDN, a Toronto-based lender, has announced a $ 70 million raise in funds led by Dan Tapieros 10T Holdings. This financing will bring LEDN’s market value to $ 540 million. Golden Tree Asset Administration, FJ Labs, and Raptor Team are some of the company’s new supporters, joining existing investors like Kingsway Money, Coinbase Ventures, White Star Capital, Alan Howard, PArafi Funds, etc.
We raised $ 70 million on a valuation of $ 540 million in our Series B funding led by 10T. We will use this new funding to support the rapid growth of our lending business, including our newest product – a world first. #Bitcoin Mortgage loan. https://t.co/6YrXjLhxkN pic.twitter.com/C7eoH3ee2O
LEDN says it will use the capital to support growth and plans to build the world’s first BTC-backed mortgage product, as Adam Reeds, Co-Founder and CEO said:
Ledn said it will use the new funds to support growth, specifically plans to build what is believed to be the world’s first bitcoin-backed product. Bitcoin-rich assets still cannot use their assets to qualify for a mortgage with a bank. Our clients want to diversify their portfolios to protect their assets and then use those assets for things like buying a home, but there will be no cost to doing so. ”
Bitcoin is the largest cryptocurrency, trading for around $ 47,660 at press time, a 30% decrease from its all-time high of $ 69,044. According to Reeds, the new BTC-based mortgage offering will give anyone investing outside of the old banks access to financial products. LEDN said the product is expected to be available to customers in the US and Canada, and the company has targeted more than $ 100 million in BTC-covered mortgages by the first quarter of 2022. Dan Tapiero as one of the executives said:
“Ledn’s business model offers real benefits to both investors and borrowers as it gives investors the ability to generate high returns on their investments in digital assets while offering high interest rates to borrowers.”
LEDN raised US $ 30 million back in May as part of a Sequence A financing led by London-based Kingsway Capital. According to the company, they operate in 127 countries, with 44% of their loan customers coming from Latin America, where they are pursuing expansion goals. LEDN claims to have over $ 1.7 billion in client assets, up 4,000% from Q3 2020.