Ledn is a Bitcoin-backed lender that was founded in Canada in 2018, but its operating company is registered in the Cayman Islands, not in Canada. It lends US dollars against Bitcoin collateral at 9.25% to 11.49% APR on 12-month loans, starting at a 50% loan-to-value ratio, and it liquidates your collateral automatically at 80%. Its loans are not available to Quebec, New Brunswick, Nova Scotia or Saskatchewan residents.
I do not rank Ledn, because it is a lender and not an exchange. Treat it as a way to borrow against Bitcoin you intend to keep, and read the liquidation terms before you put up a coin.
- Founded: in Canada, first Bitcoin-backed loan in 2018, according to Ledn
- Operating entity: Ledn Cayman SEZC Inc., a registered Virtual Asset Service Provider with the Cayman Islands Monetary Authority
- Canadian-regulated alternative: Shakepay Credit Inc., on the CSA's authorized list since April 9, 2026
| Term | What Ledn Says |
|---|---|
| APR | 9.25% for loans of $2 million and up, rising to 11.49% under $250,000, tiered by loan size |
| Loan-to-value | Typically starts at 50%; liquidation at or above 80% |
| Term and minimum | 12 months, with a minimum loan of $500 USD |
| Currency | Denominated in USD, though local fiat or stablecoin payouts may be available |
| Repayment | Redeem collateral, or pay by USD ACH, wire or eligible stablecoin balance. Partial or full early repayment carries no penalty |
| Administration fee | 2% in some APR calculations, but Ledn says it does not apply to Canadian and US clients |
| Collateral custody | Held with a qualified independent custodian in segregated on-chain addresses, according to Ledn |
| Provincial limits | Dollar Loans are not available in Quebec, New Brunswick, Nova Scotia or Saskatchewan |
| Scale | Ledn reports $11.5 billion in lifetime loans funded, $757 million outstanding and an average loan-to-value of 46% |
Is Ledn A Canadian Company?
Partly. Ledn says it was founded in Canada and made its first Bitcoin-backed loan in 2018. But the entity that runs the service is Ledn Cayman SEZC Inc., registered with the Cayman Islands Monetary Authority as a Virtual Asset Service Provider (number 1976951), and a separate Spanish entity is working toward a MiCA licence. Ledn's own Canada page says nothing about Canadian securities regulation. I could not find Ledn on the CSA's list of authorized platforms in my records, which is a different category from Shakepay Credit.
That does not make Ledn illegal to use. It does mean a Canadian customer's recourse is a Cayman company and its terms, not a Canadian regulator's complaint process. Think about that in proportion to the size of the loan.
What Is The Ledn Interest Rate?
Ledn shows 9.25% to 11.49% APR, set by loan size: 11.49% under $250,000, stepping down at $250,000, $500,000, $1 million and $2 million, where it reaches 9.25%. The page says the rate is displayed before you apply. A $10,000 loan therefore sits in the top tier, at 11.49%. Because the loan is in US dollars, a Canadian borrower also carries currency risk if the Canadian dollar moves against the US dollar while the loan is open.
How Does Borrowing Against Bitcoin Work, And What Is The Liquidation Risk?
You send Bitcoin to Ledn's custody as collateral and receive a loan worth about half its value. If the price falls and your loan-to-value reaches 80%, the collateral is liquidated, meaning it is sold to repay the lender. The arithmetic is worth seeing once.
| Step | Amount |
|---|---|
| Loan | $10,000 |
| Collateral at the start | $20,000 of Bitcoin (loan is 50% of its value) |
| Liquidation line (80% loan-to-value) | Collateral worth $12,500 ($10,000 divided by 0.80) |
| Price drop that triggers it | 37.5% from the starting price, ignoring interest |
| With interest added over the term | The line comes sooner, because the loan balance grows |
A fall of that size has happened to Bitcoin more than once. The safe way to use a loan like this is a lower starting LTV than the maximum, and money in reserve to add collateral. Ledn's average loan-to-value of 46% suggests many borrowers do the same.
Is Ledn A Trustworthy Platform To Use?
Here is what Ledn offers as evidence, in its own words: an independent custodian, a monthly Open Book Report, a Proof of Reserves attestation every six months by The Network Firm LLP with the last one dated September 1, 2026, and SOC 2 Type 2 certification. It also says it is backed by Tether and has issued asset-backed securities rated BBB- by S&P Global. Those are real signals, and they are Ledn's claims. I have not audited them.
What to weigh against them: your collateral is held on a lender's platform, and Ledn's own page says collateral may be re-posted to institutional USD partners or Ledn-sponsored vehicles, while saying it is ring-fenced and cannot be lent out for yield. Read that wording yourself before you commit. After the collapses of Celsius and others, I treat any lender that holds my Bitcoin as a counterparty risk, whatever its reporting.
Is Ledn A Public Company?
I found no stock listing for Ledn on any exchange, so I treat it as a private company. Do not confuse it with the public companies in my directory of Canadian crypto companies.
Can I Buy Bitcoin On Ledn?
Ledn's homepage lists a trading platform among its products, next to loans, USDC and USDT growth accounts and gold. I have not tested buying there. If you want to buy Bitcoin with Canadian dollars by Interac e-Transfer, use a registered exchange, and my Interac e-Transfer guide compares them. Coinbase is first in my ranking at 9.9 out of 10, and Bull Bitcoin is the Bitcoin-only choice.
How Do I Pay Back A Ledn Loan?
Ledn lists three ways: redeem the collateral against the loan, pay by USD ACH or wire, or use an eligible stablecoin balance. You can repay part or all of the loan early without a penalty. For a Canadian, the USD wire is the practical route, and your bank will charge its own wire and currency fees. Ask your bank before you take the loan.
Is A Loan Against Bitcoin Taxable In Canada?
Borrowing itself is generally not treated as a sale: Canadian Mortgage Trends, in an August 17, 2025 article, said borrowing against crypto is not a disposition at least under current rules. Liquidation is different. If your collateral is sold to repay the loan, that is a disposition, and the CRA treats a sale as a capital gain or loss measured against your cost, with half of a capital gain included in income. Keep records of the loan date, the collateral and any liquidation. My crypto taxation guide covers the reporting. The Ledn bitcoin mortgage announced in December 2021 is not listed on its current Canadian page, and I explain what is available in Do Bitcoin Mortgages Exist?.
How Does Shakepay Credit Compare?
| Item | Ledn | Shakepay Credit |
|---|---|---|
| Regulatory position in Canada | Cayman-registered operating entity; I did not find it on the CSA list | On the CSA's authorized list as a crypto-backed lending platform; April 9, 2026 decision with a three-year exemption from dealer registration and prospectus requirements |
| Loan currency | USD | CAD or USD |
| Where available | Not Quebec, New Brunswick, Nova Scotia or Saskatchewan | Passport coverage to the other provinces and territories under the decision |
| Rate | 9.25% to 11.49% APR | Check Shakepay's current terms |
Shakepay is not ranked either, but I do list its review and its sign-up. For a Canadian-dollar loan with Canadian regulatory oversight, it is the first one I would price.
What Changed For Bitcoin-Backed Loans In Canada In October 2026?
- Ledn announced a bitcoin-backed mortgage for homes of $1 million or more, which is no longer listed on its Canadian page.
- The CSA and Ontario Securities Commission granted Shakepay Credit Inc. a time-limited exemption for a crypto-backed lending platform.
- Ledn's most recent Proof of Reserves attestation date, by The Network Firm LLP.
- Ledn's Canadian crypto loans page was last checked for the provincial restrictions on Dollar Loans.
Frequently Asked Questions
What Is Ledn?
A Bitcoin-backed lender founded in Canada in 2018 that makes 12-month USD loans against Bitcoin collateral. It also lists USDC and USDT growth accounts and a trading platform.
Is Ledn Available In Canada?
Yes in most provinces. Its Dollar Loans are not available to residents of Quebec, New Brunswick, Nova Scotia or Saskatchewan.
What Interest Rate Does Ledn Charge?
9.25% to 11.49% APR depending on loan size, with 11.49% for loans under $250,000.
What Happens If Bitcoin Falls?
Ledn liquidates collateral automatically at 80% loan-to-value. On a loan that starts at 50%, a drop of roughly 37.5% in the collateral price reaches that line, before interest.
Is Ledn Regulated In Canada?
Its operating entity is registered in the Cayman Islands, and I did not find it on the CSA's authorized list. Shakepay Credit is on that list for crypto-backed lending.
Can I Repay A Ledn Loan Early?
Yes. Ledn says you can repay in full or in part before maturity without an early repayment penalty.
Is Borrowing Against Bitcoin Taxable?
Borrowing is generally not treated as a sale, but a liquidation is a disposition, so a capital gain or loss can arise. Keep records.