Ledger Launches Self-Custodial Bitcoin-Backed Loans via Morpho Protocol
Ledger introduced Crypto Loan, a self-custodial feature allowing users to pledge wrapped Bitcoin as collateral to borrow USDC or USDT stablecoins directly in Ledger Wallet.
Why it matters
The launch extends Ledger's push into financial services while maintaining self-custody, joining a growing trend of Bitcoin-backed lending from firms like Coinbase and JPMorgan. It gives Bitcoin holders a way to access liquidity without selling or moving funds to centralized platforms.
Key facts
Ledger launched Crypto Loan, a self-custodial lending feature inside Ledger Wallet
Reported by Decrypt
Users can pledge wrapped Bitcoin as collateral to borrow USDC or USDT stablecoins
Reported by Decrypt
The feature is powered by Morpho decentralized credit network through Yield.xyz
Reported by Decrypt
Yield.xyz is the same technical provider Coinbase uses for its Bitcoin-backed loans
Reported by Decrypt
Every loan action requires physical confirmation on a Ledger hardware device
Reported by Decrypt
The app tracks loan-to-value ratios and allows adding collateral, repaying, or borrowing more
Reported by Decrypt
Interest rates are variable and liquidation risks apply
Reported by The Daily Hodl
Crypto Loan is subject to country availability
Reported by The Daily Hodl
What happened
Ledger unveiled Crypto Loan at TOKEN2049 in Singapore, enabling eligible users to deposit cbBTC or wBTC as collateral and borrow USDC or USDT without surrendering custody of their assets. The feature is powered by the Morpho decentralized credit network through technical provider Yield.xyz, the same infrastructure Coinbase uses for its Bitcoin-backed loans. Every loan action requires physical confirmation on a Ledger hardware device, and the app tracks loan-to-value ratios with options to add collateral, repay, or borrow more. Ledger also added direct access to Morpho lending markets and curated vaults across Ethereum and major layer-2 networks. Interest rates are variable, liquidation risks apply, and availability varies by country.
How the story developed
- First report
First report by Decrypt
Ledger Launches Bitcoin Loans, Letting Holders Borrow Without Selling
- Update
Ledger announces Crypto Loan at TOKEN2049
Self-custodial Bitcoin-backed lending feature unveiled in Singapore
- Update
Ledger adds direct access to Morpho lending markets
Users can connect hardware devices to Morpho without browser extensions for depositing, borrowing, and earning across Ethereum and layer-2 networks
How coverage built up
Independent sources over time, counted the way the consensus panel counts them: a republication of a wire story does not move the line.
- 7 Oct 2026, 09:01 UTC: Decrypt — 1 independent source, 1 reports
- 9 Oct 2026, 14:30 UTC: The Daily Hodl — 2 independent sources, 2 reports
Affected entities
Also mentioned: JPMorgan
Original sources
| Publisher | Report | Role | Published |
|---|---|---|---|
| Decrypt Crypto media | Ledger Launches Bitcoin Loans, Letting Holders Borrow Without Selling | Original | |
| The Daily Hodl Crypto media | Crypto Wallet Ledger Now Lets Users Borrow Stablecoins Against Their Bitcoin Without Giving Up Self-Custody | Syndicated |
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