Bitcoin financial services firm Onramp has partnered with lending platform Arch to introduce a bitcoin-backed lending service, the companies announced.
The new product allows BTC holders to secure loans while keeping ownership of their assets, a move aimed at investors looking to access liquidity without selling their bitcoin (BTC).
The service provides bitcoin-collateralized loans, allowing borrowers to use their holdings as security while receiving cash or stablecoins in return. By using bitcoin as collateral rather than selling it outright, borrowers can avoid capital gains taxes and maintain exposure to the asset’s potential price appreciation, according to the press release.
Lending partner Arch specializes in asset-backed loans and will handle the underwriting and loan distribution. Onramp, which focuses on bitcoin financial solutions, will integrate the service into its platform, making it accessible to users looking for an…
