Bitcoin Loan Comparison

Ledn vs. Unchained

Ledn charges 9.25%–11.49% APR with a 2% origination fee (waived for US/Canada) using custodial (segregated). Unchained charges 14.18% APR with a 2% origination fee using collaborative multisig (2-of-3). See the full breakdown of rates, thresholds, and custody risk below.

Terms checked individually — Ledn: 2026-09-02; Unchained: 2026-05-14.

How do Ledn and Unchained compare for Bitcoin-backed loans?

For the standardized $250,000, 50% LTV, 12-month scenario, Ledn is 10.99% APR and Unchained is 14.18% APR. Ledn: 12-month loan; published APR tier for the selected size. Unchained: 12-month loan with 2% origination included in APR.

Ledn charges a 2% origination fee (currently waived for US and Canada borrowers), and Unchained's published APR already includes 2% origination fee.

On a $250,000 loan held for 12 months, Ledn saves $7,975 in total first-year cost (interest plus applicable fees or charges) — excluding Ledn's 2% origination fee, which is waived for US/Canada but applies elsewhere.

From a custody perspective, Unchained presents lower counterparty risk with its collaborative multisig (2-of-3) model.

Ledn vs. Unchained: Feature-by-Feature Comparison

Ledn

Unchained

Interest Rate (APR)

10.99%Ledn

14.18%

Pricing Basis

Loan size

12-month commercial loan

Fees / Charges

$0 (waived for US/Canada)Ledn

2% origination fee

Max Starting LTV

50%

Margin Call Threshold

70% LTVLedn

67% LTV

Liquidation Threshold

80% LTV

83% LTVUnchained

Margin Call Window

Threshold-based

24 hoursUnchained

Custody Model

Custodial (segregated)

Collaborative multisig (2-of-3)Unchained

Rehypothecation

Yes

NoUnchained

Interest Payment

At maturity

Monthly

Minimum Loan

$500Ledn

$150,000

Cost on a $250,000 Loan: Ledn vs. Unchained

To keep the comparison clean, both lenders are modeled at $250,000 principal, 50% starting LTV, and a 12-month term, using monthly-pay pricing where available. Ledn pricing varies by loan size; Unchained pricing varies by 12-month commercial loan. Actual offers can differ when those inputs change.

Loan Size	Ledn APR	Unchained APR	Ledn Total Year-1 Cost	Unchained Total Year-1 Cost	Savings
$250,000	10.99%	14.18%	$27,475	$35,450	$7,975 with Ledn

Assumptions: $250,000 principal, 50% starting LTV, 12-month term, and monthly-pay pricing where offered. Total year-1 cost includes annualized interest and fees, but does not add a fee again when the lender's published APR already includes it. Ledn: $0 (waived for US/Canada) — excluded from the total for the stated waiver. Unchained: 2% origination fee — already included in APR. Terms checked individually — Ledn: 2026-09-02; Unchained: 2026-05-14.

Custody and Collateral Security

Ledn and Unchained take fundamentally different approaches to collateral custody. Ledn uses custodial (segregated). Your Bitcoin depends on the security and solvency of that custody arrangement and could be at risk in the event of a hack, insolvency, or regulatory action. Ledn also rehypothecates deposited assets, meaning your collateral may be lent to third parties. Unchained uses collaborative multisig (2-of-3). Multiple key holders must coordinate to move funds, reducing single-point-of-failure risk but still requiring trust in the key coordination process.

Ledn: High (Custodial)

•Custodial (segregated)
•Rehypothecation: Yes
•At-maturity interest payments
•2% origination waived for US/Canada.

Unchained: Medium (Multisig)

•Collaborative multisig (2-of-3)
•Rehypothecation: No
•Monthly interest payments
•Commercial/institutional only since Jan 2024.

Margin Call and Liquidation: Ledn vs. Unchained

Ledn triggers margin calls at 70% LTV and liquidates at 80% LTV. Unchained triggers margin calls at 67% LTV and liquidates at 83% LTV. Unchained gives borrowers 24 hours to respond to a margin call. Ledn uses threshold-based triggers without a fixed response window.

Threshold	Ledn	Unchained
Max Starting LTV	50%	50%
Margin Call	70% LTV	67% LTV
Margin Call Window	Threshold-based	24 hours
Liquidation	80% LTV	83% LTV

Safety Buffer at Each Lender's Maximum Starting LTV

This comparison uses each lender's own maximum starting LTV, not a common 50% starting position. Ledn: 30.0 percentage point modeled buffer between maximum starting LTV (50%) and liquidation (80% LTV). Unchained: 33.0 percentage point modeled buffer between maximum starting LTV (50%) and liquidation (83% LTV). Unchained provides a wider safety margin.

Which is better: Ledn or Unchained?

Choosing between Ledn and Unchained requires evaluating total cost, custody risk, and which platform aligns with your borrowing profile. Ledn uses custodial (segregated) with 9.25%–11.49% APR, while Unchained uses collaborative multisig (2-of-3) with 14.18% APR.

On the standardized $250,000, 50% LTV, 12-month scenario, Ledn costs $27,475 in the first year versus $35,450 at Unchained, a difference of $7,975.

The custody difference is material. Unchained uses collaborative multisig (2-of-3), which means your Bitcoin requires multiple key holders to coordinate, reducing single-point-of-failure risk. Ledn uses custodial (segregated) and rehypothecates deposited assets, meaning your collateral may be lent to third parties while your loan is active. That arrangement adds custody-provider and insolvency risk that a script-enforced DLC avoids.

Ledn is the better fit for borrowers who need smaller loans or instant access. Unchained is the better fit for borrowers who are borrowing $150,000 or more and want collaborative key control.

Key details to be aware of: Ledn: 2% origination waived for US/Canada. No monthly payments; accrued interest and any applicable admin fee are due at maturity or refinance. Unchained: Commercial/institutional only since Jan 2024. Published pricing is 12% interest, 2% origination, and 14.

Frequently Asked Questions

Is Ledn or Unchained cheaper for a $250,000 Bitcoin-backed loan?

Ledn is cheaper under the stated assumptions. On a $250,000 loan at 50% LTV held for 12 months, Ledn costs $27,475 (10.99% APR) while Unchained costs $35,450 (14.18% APR). That is a $7,975 difference in the first year.

How does Ledn's custody model compare to Unchained?

Ledn uses custodial (segregated) and rehypothecates deposited assets. Unchained uses collaborative multisig (2-of-3). Unchained presents lower custody risk because your collateral requires coordination among multiple key holders.

What is the minimum loan amount at Ledn vs Unchained?

Ledn's minimum loan is $500. Unchained's minimum is $150,000. Ledn is more accessible for smaller borrowers.

What happens if Bitcoin drops while I have a loan with Ledn or Unchained?

Ledn issues a margin call at 70% LTV (threshold-based, no fixed window) and liquidates at 80% LTV. Unchained issues a margin call at 67% LTV with a 24-hour response window and liquidates at 83% LTV. For a common 50% starting LTV (rather than each lender's maximum), the modeled buffers are 30 points at Ledn and 33 points at Unchained.

Should I use Ledn or Unchained for a Bitcoin-backed loan?

It depends on your priorities. Ledn (9.25%–11.49% APR, custodial (segregated), min $500) is better for borrowers who value custodial (segregated) and need smaller loan access. Unchained (14.18% APR, collaborative multisig (2-of-3), min $150,000) is better for borrowers who value collaborative multisig (2-of-3) and prefer this platform's lending structure. Use the rate table and cost comparison above to model your specific scenario.

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Understand the key terms

Rehypothecation Discreet Log Contracts Custodial vs. Non-Custodial LTV Ratio Margin Call Counterparty Risk

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