Tether Invests in Ledn to Expand Bitcoin-Backed Lending
Tether’s new investment in Ledn targets growth of bitcoin-backed lending products that let holders borrow against BTC instead of liquidating positions. Ledn, known for its consumer-focused loan and savings services, will use the capital to expand product distribution and improve infrastructure, increasing access to credit for crypto holders across jurisdictions.
The move matters because it deepens ties between a major stablecoin issuer and a prominent lending platform, reinforcing USDT’s utility as a settlement and liquidity instrument in credit markets. By enabling more on-chain collateralization and off-ramp options, the partnership could boost capital efficiency for users and grow regulated lending flows — though it may also draw closer regulatory scrutiny as crypto credit markets scale.