Bitcoin owners operate loans secured with cryptocurrencies to buy real estate without selling one satus, while gaining taxes on capital gains.
The emerging trend is gaining momentum among early cryptocurrencies, entrepreneurs and high net value people who are “wealthy bitcoins”, but often do not meet the time-honored criteria of real estate financing, said Cointelegraph Mauricio di Bartolomeo, co -founder of LEDN.
Loan models supported by Bitcoin allow borrowers to operate their crypto without selling. Since taking a loan usually does not count as a taxable event, customers can access liquidity while maintaining exposure.
“Billing with Bitcoins as collateral usually does not cause tax profits taxes in most jurisdiction, because a loan for an asset is usually not a taxable event – you do not sell bitcoins,” said Di Bartolomeo.
Related: How to buy a house with a cryptographic loan
Bitcoin loans finance the houses quickly
To secure the Bitcoin (BTC) loan, customers block BTC with a typical indicator of 50% value loan (LTV) and receive FIAT or Stablecouins. Di Bartolomeo said that the average financing time for one lender is 9.6 hours. These funds are then used as an advance or covering the entire cost of real estate.
The model also offers some flexibility. Interest and fees for the loan period, without mandatory monthly payments. Repayment may occur at any time without penalties, and loans can be extended if LTV stays below 60%. The borrowers also retain the right to withdraw the surplus of security if Bitcoin appreciates during the loan period.
Di Bartolomeo said that Bitcoin Ledn loans found sturdy adoption in Latin America, the United States and parts of Europe. “The beauty of Bitcoins as a security is that it is without borders,” he said.
Repeated problems related to loans supported by BTC is variability. “As Bitcoin prices increase and LTV, customers will receive notifications about sending additional security,” explained Di Bartolomeo.
If LTV reaches 80%, the lender sells the necessary BTC amount to repay the loan, returning the rest of the borrower. Since the real estate transaction has already taken place, the liquidation does not reverse the purchase of real estate – it simply settles the loan.
Related: Maple Finance, FalConx Safe and sound loans supported by Bitcoin from Cantor Fitzgerald-Desrand
Bitcoin as a collateral, does not require credit control
Conventional lenders often avoid crypto because of regulatory uncertainty and credit risk. However, Di Bartolomeo said that Bitcoin loans can bypass the need for a completely credit assessment. Borrower after 2: 1 collateral, and lenders can immediately eliminate if the value drops.
“We believe that Bitcoin is the most flawless security in the world. It trades 24 hours a day, 7 days a week, it is deeply liquid, and transactions can be sent worldwide in real time,” said Di Bartolomeo.
The LEDN company has spent over $ 300 million in retail loans in the first quarter of 2025 and is at a rate of exceeding $ 1 billion by the end of the year. In addition, in 2024, customers earned eight times more than Bitcoin’s recognition than they paid in interest, and over 1000 BTC withdrew as excessive security when prices increased.
Di Bartolomeo added that more and more people with high net value are turning to loans supported by bitcoins. Instead of paying out, they operate their shares in BTC to access strenuous assets, such as real estate, maintaining exposure to what they consider to be the best effective investment.
“They want to maintain the exposure to the highest and best -working resources and can still enjoy the transfer to a new property without selling their bitcoins.”
In May, Seamus Rocca, general director of the private bank of XAPO Bank based in Gibraltar, said that Bitcoin owners are becoming more comfortable, borrowing their crypto as market trust increases.
On March 18, XAPO Bank launched a loan product that allows users to borrow American dollars with their bitcoins as security. Thanks to the product, qualified customers can access $ 1 million loans while running BTC.
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