Trump administration’s kindness to the crypto sector will deeply change Bitcoin (BTC) lending market for the next four years.
It is, according to Mauricio di Bartolomeo, co -founder of LEDN, a company that specializes in providing digital asset loans.
“You will see a Cambrian explosion of Bitcoin-supported loans because the rates will fall to a point that will make them competitive with home capital or personal credit lines or other types of instruments,” DI Bartolomeo told Coindesk in an interview.
The kicker, he said, is that these rates not only fall in the United States, but for countries across the globe thanks to Bitcoin’s nature as a digital asset. “Gold in a vault in Switzerland is not gold in a vault in Venezuela, but Bitcoin in Colombia is Bitcoin in Madrid is Bitcoin all over the world. As an insurance company, I have uniform collateral,” said Di Bartolomeo.
In practice, this means that investors from developing countries who may not have the same kind of effective financing opportunities as people in Western nations will soon have a way to access what DI Bartolomeo called world -class funding for fair rates.
That’s because large banks are finally ready to wade into crypto loans, now that the US Securities and Exchange Commission (SEC) has lifted SAB 121, a controversial accounting rule that made it unaffordable for companies to deteriorate crypto assets.
Historically, very few players have offered crypto -lending services in the United States, which has made the space relatively competitive, according to DI Bartolomeo.
“It’s a seller’s market right now. We lend dollars full security on the north of 12.5%, with zero losses over seven years. Banks will look at this and say ‘wow, this is a big return.’ A bank will come in with 12%interest.
Lending Bitcoin
Born and raised in Venezuela, Di Bartolomeo entered the cryptosphere in 2014. Back then, the country was rolled from hyperinflation and Nicolás Maduro’s ascension to power. While most of DI Bartolomeo’s friends were focused on emigating, his brother was taking advantage of Bitcoin mining thanks to the nation’s cheap energy.
The family came into the company, then others acquaintances, but they were confronted with the question of financing their operations – a single mining can cost thousands of dollars. Bitcoin mine workers residing in Canada also had the same problem Di Bartolomeo (who studied in Ontario) discovered. That’s what pushed him to launch LEDN in 2018 with co -founder Adam Reed.
“Miners had fees and expenses, and their income was in Bitcoin. They would keep a lot of their treasury like Bitcoin, because of how well it did. They needed a tool that helped them keep their bitcoin while giving them fiat they needed to pay things out,” Di Bartolomeo said.
Calf until 2025 and LEDN’s clients now have access to products that include Bitcoin loans, Bitcoin outcomes accounts, stableecoin growth accounts and Ether (ETH) supported loans -a basic tool set for Wealth Management, according to DI Bartolomeo. The loans also provide a tax -efficient way of obtaining liquidity. Customers include high networks that were early for bitcoin, businesses and foundations. LEDN has issued $ 9 billion in loans since its inception.
Although based in Canada, Ledn was one of the first lending companies to offer Services in Spanish that allowed the company to establish a market in countries such as Mexico, Colombia, Venezuela and Spain, while other lenders – Blockfi, Voyager, Celsius, Genesis – pressed to capture the US market. When these lenders were wiped out in 2022, Ledn was one of the only companies that remained standing and it grew in the United States organically.
Now, with large banks wading in, Di Bartolomeo believes that the cake is getting much larger and that LEDN is well placed to get a spread of it.
“Ledn wants space at the table, no matter how this shakes out if we continue to do our job, and that’s what I’m very excited about. How big the seat is – you know, the table will be huge and there will be plenty of food. As long as we are in the room we will be happy.”
