Bitcoin Loans

Bitcoin Loans News: Major Developments in Late 2025

The Bitcoin-backed lending market is experiencing significant growth and institutional adoption. Here are the key recent developments:

Major Institutional Move: JPMorgan Enters the Space

JPMorgan Chase plans to allow institutional clients to use Bitcoin and Ether as collateral for loans by the end of the year, representing a significant deepening of Wall Street’s crypto integration Bloomberg. The program will be offered globally and builds on the bank’s earlier acceptance of crypto-linked ETFs as collateral.

Record-Breaking Activity

The market is seeing substantial volume growth:

• Coinbase’s Bitcoin-backed loan program has surpassed $1 billion in originations since launching in January 2025 CoinDesk, with plans to raise its borrowing cap from $1 million to $5 million
• Two Prime Lending issued record-breaking Bitcoin-backed loans of $827 million in Q3 2025, bringing its total committed loan volume to $2.55 billion since launching in March 2024 CoinDesk

Competitive Rate Environment

Lava raised $200 million in funding and launched a Bitcoin line of credit offering fixed rates starting at just 5% for year-long durations Bitcoin Magazine. The product offers flexible borrowing with no monthly payments or term limits, functioning more like a revolving credit account.

Corporate Treasury Applications

Metaplanet, a Japanese investment firm, secured a $100 million loan collateralized by its Bitcoin holdings Crypto Briefing, demonstrating how companies are using Bitcoin-backed credit to expand holdings and fund operations without selling their assets.

Market Growth Projections

The Bitcoin-backed lending market was valued at approximately $8.6 billion as of August 2024, with projections estimating growth to $45.6 billion by 2030 Blockworks. This reflects strong demand for liquidity solutions that allow Bitcoin holders to access funds without selling.

The rapid expansion of Bitcoin-backed lending demonstrates growing mainstream acceptance of cryptocurrency as collateral in traditional financial markets.