Arch Lending Offers Bitcoin-Backed Loans with Security Focus
- Arch Lending provides Bitcoin-backed loans with bank-grade security.
- No rehypothecation ensures customer Bitcoin is not reused.
- Impact on BTC, ETH, SOL holders seeking non-recourse credit.
Arch Lending, a centralized cryptocurrency lending platform, has emerged as a significant player in the financial sector by offering Bitcoin-backed loans to institutional clients and retail investors.
Arch’s no-rehypothecation policy addresses previous crypto lending risks, potentially attracting cautious investors seeking secure and transparent lending solutions.
Arch Lending has introduced a crypto lending platform offering loans backed by Bitcoin, Ethereum, and Solana. The platform emphasizes a “no rehypothecation” policy, ensuring customer assets remain under qualified custody without being reused. Learn about Arch Lending’s mission and services.
Arch Lending does not list any named executives, focusing instead on its product’s security and transparency features. The loans are fully automated and offer borrowers long-term liquidity in USD or USDC with competitive interest rates starting at 9.5% APR. “Turn your Bitcoin into long-term liquidity with low rates, white-glove service, and bank-grade security with verifiable transparency.” – Arch Lending
The platform is designed to attract serious Bitcoin holders, emphasizing security and customer service. By using qualified custody with Anchorage Digital, Arch Lending differentiates itself from previous platforms with problematic rehypothecation practices.
Loans are available to Bitcoin holders seeking liquidity without selling assets. This approach provides an alternative to traditional off-chain credit and impacts the leverage demand among BTC, ETH, and SOL investors.
The direct offer of credit agreements over informal lending models places Arch Lending under traditional regulatory frameworks, potentially influencing industry expectations. However, there are no SEC/CFTC filings made available on their site, aligning the platform with centralized lending norms.
Arch Lending’s model, focusing on institutional and high-net-worth clients, hints at a broader market shift towards risk-averse crypto lending. The lack of on-chain visibility of TVL or loan books aligns the platform with centralized lending norms. “Overview of Executive Order 6102 and its implications” – Arch Lending
