Onramp Partners with Arch to Launch Bitcoin-Backed Lending Service
Onramp has partnered with Arch to launch a bitcoin-backed lending service. Key details include:
- The service allows BTC holders to secure loans while retaining ownership of their assets.
- Borrowers can use bitcoin as collateral to obtain cash or stablecoins, avoiding capital gains taxes and maintaining exposure to potential price appreciation.
- Arch will manage underwriting and loan distribution, while Onramp will integrate the service into its platform.
- This lending model is increasingly popular among long-term BTC holders seeking liquidity without selling their holdings.
Bitcoin-backed lending serves various financial needs, from personal liquidity to institutional financing strategies.