Ledger Introduces Crypto Loan Feature for Bitcoin Users
- Ledger allows users to borrow stablecoins USDC or USDT against their Bitcoin (BTC) holdings.
- The new feature uses wrapped Bitcoin (wBTC or cbBTC) as collateral within the Ledger Wallet app.
- Powered by Morpho’s on-chain lending network, the service maintains user custody of assets.
- Users can manage loans directly through their Ledger hardware device, ensuring secure transactions.
This new Crypto Loan feature enables users to maintain exposure to Bitcoin while accessing liquidity without selling their assets. The integration with Morpho allows for real-time management of loan parameters and collateral adjustments.
With variable interest rates and liquidation risks applicable, this innovation emphasizes self-custody and security in crypto lending. Users can now leverage their Bitcoin holdings more effectively while keeping control of their investments. (Source)
