Ledger Launches Bitcoin Loans, Letting Holders Borrow Without Selling
Summary
Ledger launched Crypto Loan in its wallet app, allowing eligible users to borrow USDC or USDT against wrapped Bitcoin (cbBTC or wBTC) without transferring custody to a centralized lender. Loans run through Morpho, with Yield.xyz providing technical support, and key actions require approval on a Ledger hardware signer. Users can monitor loan-to-value ratios, add collateral, repay, or borrow more; falling Bitcoin prices can trigger liquidation. Ledger also enabled direct hardware-wallet access to Morpho. The loan feature is rolling out gradually, adding to competition from Coinbase and other institutions offering Bitcoin-backed borrowing.
