Ledn

Ledn is a Toronto-based CeFi lending platform founded in 2018 by Adam Reeds and Mauricio Di Bartolomeo. The company is focused specifically on Bitcoin and USDC — making it one of the few lending platforms with a Bitcoin-first philosophy. I have used Ledn as part of a diversified lending strategy, and I would like to describe the service from my perspective as an actual user.

About Ledn

Ledn was founded in 2018 and is headquartered in Toronto, Canada. The company is registered with FINTRAC (Financial Transactions and Reports Analysis Centre of Canada), which provides some level of regulatory oversight. Ledn operates with a Bitcoin-first approach, offering services specifically for BTC and USDC rather than a wide range of altcoins.

The company has raised significant venture funding and has established itself as a credible player in the North American crypto lending space. As of 2022, Ledn has over $1.5 billion in assets under management and more than 70,000 clients in over 130 countries.

Ledn is notable for being the first crypto lender to complete a Proof of Reserves attestation — a cryptographic audit performed by an independent accounting firm that verifies client assets are actually held on-chain. This level of transparency is rare in the CeFi lending industry.

Ledn Services

Ledn offers three main services:

1. Savings Accounts (interest earning)
2. Bitcoin-Backed Loans
3. B2X (Bitcoin doubling product)

Savings Accounts

Ledn offers savings accounts for BTC and USDC. By depositing your crypto currency, you earn interest paid out monthly. The accounts have no lock-up period and funds can be withdrawn at any time.

Interest rates are competitive with other US/Canadian regulated lenders such as BlockFi. While rates are not the highest in the industry, the regulatory compliance and transparency of Ledn provides additional peace of mind.

• BTC: Competitive APY, paid monthly in BTC
• USDC: Higher stablecoin APY, paid monthly

Bitcoin-Backed Loans

Ledn's core loan product allows you to borrow USDC against your Bitcoin collateral. This is useful when you want to access liquidity without selling your BTC — avoiding a taxable event.

• Collateral: BTC only
• Loan currency: USDC
• LTV: up to 50%
• No personal credit check required
• Loan proceeds can be transferred to your bank account

If the value of your BTC collateral drops significantly (margin call), Ledn will notify you and give you a window to add more collateral before liquidation occurs.

B2X — Bitcoin Doubling Product

B2X is a unique Ledn product that allows you to effectively double your Bitcoin exposure. By depositing BTC as collateral, Ledn lends you additional BTC to use as you wish, while also crediting you with interest on your original deposit. This is a higher-risk product suitable for users who are bullish on Bitcoin and comfortable with leveraged exposure.

Security and Transparency

Ledn uses Bitgo for custody services — the same industry-leading custodian used by several other major lending platforms. Assets are held in cold storage with institutional-grade security.

Ledn's most notable security feature is its Proof of Reserves attestation. This independent cryptographic audit verifies that Ledn actually holds the client assets it claims to hold on-chain. This is a level of transparency that goes beyond what most other CeFi lenders provide, including BlockFi and Nexo.

Ledn also requires KYC (Know Your Customer) verification for all users. Individual accounts support 2FA for additional login security.

Platform and Mobile App

Ledn is accessible via a web dashboard and mobile apps for both iOS and Android. The platform is clean and straightforward. Given the limited number of supported assets (BTC and USDC), the interface is necessarily simple — which is actually a positive for users who want clarity over complexity.

Customer support is available via email and in-app chat, with generally responsive service. The smaller user base compared to BlockFi means faster and more personalized responses.

Pros & Cons

Summary

Ledn is a compelling choice for Bitcoin-focused investors who value transparency and regulatory compliance over maximum yield. The Proof of Reserves attestation is a significant differentiator that sets Ledn apart from most competitors in terms of accountability.

If you are primarily holding BTC and USDC and want to earn interest with a platform that can demonstrate it actually holds your assets, Ledn is one of the best options in the market. The Bitcoin-backed loan service is also useful for accessing liquidity without selling BTC.

I recommend Ledn as part of a diversified lending strategy, particularly for those who want at least one platform with a strong transparency track record.