Looking for the best Unchained Capital alternative?
Open a Ledn account and see for yourself why Ledn is the best!
Both Ledn and Unchained Capital offer bitcoin-backed loans and both offer custodied loan solutions. The execution of the custodied loans is where the two companies differ.
Unchained Capital specializes in collaborative custody multisignature vaults and loans for Bitcoin holders. Unchained Capital’s security model is based on multisignature (multisig) wallets, where three keys control the vault, with two of them required to approve a transaction. You hold two keys, and Unchained Capital holds one, which enhances security and control. This approach can be more complex, and users may need to pay extra for assistance with setup.
In contrast, Ledn focuses on accessibility and ease of use. You can apply for a Ledn Custodied or Standard loan and get approved for a loan within 24 hours and with only $500 USD worth of Bitcoin. It is available in over 120 countries and supports a variety of local currencies.
With Ledn’s Custodied loans, there are no multisig wallets. The collateral you post to secure a loan is posted to an institutional USD funding partner, which is always a regulated bank or credit fund. This collateral is held in custody, and legally cannot be lent out to generate interest. You get peace of mind from knowing your collateral is in custody, without the hassle of key maintenance.
Simplicity
Ledn Custodied Loans give clients collateral custody safeguards like Unchained Capital, but without the complication of multisig, or setup fees.
Ledn is transparent. They were the first digital asset lending company in the crypto industry to complete a Proof-of-Reserves. By providing these biannual attestations with a Certified Public Accountant, who works independently from the company, clients can confirm their balance is accounted for. Ledn also issues monthly Open Book Reports which provide insight into how assets are being utilized to generate interest on its Growth Accounts and lower its Loan interest rates. Read Less
Price
Ledn offers better interest rates than Unchained Capital with lower fees.
Availability
As of January 2024, Unchained Capital no longer services individual clients. They are instead focused on LLCs and corporations in the USA. Ledn is available to clients in over 120 countries and supports loans beginning as low as $500.
Ledn’s risk management and rigorous due diligence processes ensure that they only work with high-quality institutions and reliable assets. Any counterparty lending is matched on both maturity and assets. Ledn supports only the most liquid assets in the industry BTC and USDC, and expects to add ETH and USDT soon.Read Less
Crypto holders are turning to Ledn for its commitment to simplicity, operational stability, transparent rates, and robust asset security. Ledn’s loans are more accessible too, available in 120 countries and starting at $500 USD. At Unchained Capital, the minimum is for individual loans $10,000, and $100,000 for company loans.
Ledn prioritizes digital asset security with cutting-edge encryption and 2FA activation, ensuring assets remain protected. It has a proven track record of asset security and has never paused client’s withdrawals.
The numbers don’t lie. Ledn offers competitive but realistic lending and saving rates for its range of products, including savings or growth accounts and lending services.
Currently, Unchained Capital’s six month interest rate is 16.56% APR, and its 12 month interest rate is 16.66% APR.
Ledn’s 12-month Custodied Loans have a current interest rate of 14.9% APR.
At Ledn, there are no monthly payments and no penalties for repaying early. Loans with a LTV less than 65% automatically renew at the end of the initial 12-month term. Clients can also use Auto Top-Up to manage their loans’ LTV when BTC price drops, or use the Loan Rebalancing feature to redeem excess collateral as BTC price goes up.
Simpler user experience
Ledn offers a simpler user experience compared to Unchained Capital, particularly when it comes to security. Ledn does not use multisignature wallets, making it easier for clients to manage their assets without the complexity of multiple keys.
Better interest rates
Ledn offers better interest rates and a more cost-effective structure. It does not charge setup fees, but Unchained Capital charges a $745 IRA setup fee, annual account fees, and extra fees for assistance with setup. It provides clear, fee-free rate structures.
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Available in over 120 countries
Ledn is available in over 120 countries and offers accounts in local currencies, but Unchained Capital is limited to certain US states.
Better minimum loan amount
Ledn’s minimum loan amount starts at $500 USD, making it more accessible to a broader range of users. Unchained Capital’s minimum loan amount is $10,000 for individual loans and $100,000 for company loans.
Digital asset security
Ledn prioritizes digital asset security through encryption and 2FA activation, ensuring the safety of assets while they are not pledged or on-lent. It has never had to pause clients’ withdrawals.
“I had the opportunity and good fortune to meet Mauricio Di Bartolomeo and Mr. John Glover in their amazing offices in Toronto. Once again, I received confirmation that my choices of where to place my trust and investments have proven to be correct. I am particularly pleased to have had the opportunity to exchange important words with them about the new products that are coming. Thank you again.”
JB
John Bishop •
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