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Ledn vs BlockFi: Which Lending Platform is Best for You?

The crypto lending scene is surging in popularity. Lenders accept your crypto assets as collateral and transfer funds to you. We compare Ledn vs BlockFi loans.

Ledn vs BlockFi

  • Features
  • Ease of use
  • Security
  • Support
  • Reputation
  • Fees
  • Overall
  • 3
  • 4
  • 4
  • 4
  • 4
  • 4
  • 3.83
Go to siteLedn
  • 4
  • 5
  • 4
  • 4
  • 5
  • 4
  • 4.33
Go to siteBlockFi

Blockchain has revolutionized the traditional finance ecosystem, from investment behaviours to payment transactions. This technology, along with cryptocurrencies, has also resulted in plenty of disruption.


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  • Return rates optimized daily
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As techies and entrepreneurs continue to trailblaze in this new area of finance, they've caught the attention of many consumers interested in better ways to invest.

Crypto lending has now become a part of mainstream conversations about institutional investors and banking experts. Within this context, you may have questions about comparing Ledn vs. BlockFi.

Here's what you need to know about these crypto lending leaders.

About Ledn

If you're looking for cryptocurrency solutions, you've likely run across Ledn at some point. This Toronto-based company offers a variety of services. These services include:

  • Bitcoin and USDC savings
  • Loans to buy Bitcoin (B2X)
  • Bitcoin-backed loans

These world-class financial services cater to the crypto-economy, providing you with an excellent entree into the ecosystem.

Ledn also places a primary focus on security, privacy, and Bitcoin. This emphasis empowers HODLers, those who prefer to hold onto their cryptos. Since Ledn doesn't ask clients to buy extra tokens, there's no Initial Coin Offering (ICO) or token.

Ledn Loan Basics

To gain approval for a loan with Ledn, you must go through their online portal and application. The application isn't overly complicated, and you can complete it in approximately ten minutes.

Approval of your loan requires a minimum of 24 hours. Once approved, you must send your Bitcoin to Ledn as collateral for your loan. After these funds get received, Ledn will distribute your loan funds as either fiat currency or stablecoin USDC.

Ledn loans get funded in as little as 24 hours from the approval of your application. The minimum amount you can apply for is $500. International loans are also available, but you must contact Ledn directly to inquire about qualifying nations.

What do Ledn loan terms look like? The company offers 12-month loan terms as well as other options once you've gotten through the initial period. Ledn doesn't require monthly interest payments, which means you can get a payment schedule requiring as little as one payment when closing the term.

Repayment options prove straightforward and largely penalty-free. You may pay off your loan at any time without dealing with prepayment penalties.

How do withdrawals work? Funds become available following loan approval. You'll receive a choice between USDC stablecoins and fiat.

For fiat withdrawals, you must furnish bank information. Ledn saves this information for future transactions so that you don't have to keep re-entering your account information.

Ledn B2X Loans

How do Ledn B2X loans work? They permit consumers to ramp up Bitcoin HODLings with a crypto-backed loan.

Start by staking your Bitcoin HODLings and then taking out a loan issued in US dollars to buy the same amount of Bitcoin. Voilà, you've just doubled your Bitcoin total.

What happens to the initial Bitcoin you staked and the additional sum purchased? They get held as collateral against your dollar loan. Think of it as a standard loan with a singular objective.

Instead of using loan funds to buy a new car or swanky pad, they go right back into the crypto ecosystem through the purchase of more Bitcoin. One of the best features about Ledn is how streamlined and straightforward they make the B2X loan process.

Check out Ledn's B2X loan calculator now.

B2X Loan Terms and Rates

What should you expect from B2X loan rates? Like Ledn's other Bitcoin-backed loans, you'll get charged a monthly interest rate of 1% over a 12-month term. Expect a 2% administration fee.

Throughout a year-long loan, the all-in cost will run you 14%, making Ledn one of the most cost-effective loan solutions in the crypto world.

What do we like most about B2X loans? Two things, instant execution and the ability to repay at any time without penalties.

What happens to your Bitcoin once you've paid off the loan? It gets returned to you, plus you receive any gains accrued. Bear in mind that these loans remain subject to margin call provisions.

What happens if Bitcoin flatlines while you're holding a loan with Ledn? The company will require you to provide additional collateral.

Ledn Pros and Cons

When it's all said and done, the pros and cons of Ledn can be succinctly summed up. In terms of the advantages of using Ledn, you'll enjoy:

  • The company's focus on Bitcoin
  • Proof-of-reserve offers
  • Deals in no "utility tokens"
  • Cold-storage services for your Bitcoins

What about the disadvantages of working with Ledn? They include:

  • No mobile app
  • Limited choices
  • Lack of long-term credibility

To sum it up, Ledn is going the extra mile to reinvent financial services around crypto assets through products such as Bitcoin-backed loans. Yet, the company remains a relatively new and untested player in the game.

We'll have to wait and see whether its business model pans out over the long term. If you're a mobile-heavy user or prefer more options than a standard loan plan, Ledn likely won't float your boat.

About BlockFi

How does BlockFi compare to Ledn? This US-regulated enterprise is one of the few retail-focused interest-earning platforms on the market today. It's also institutionally backed by the biggest names in the industry.

BlockFi doesn't have a utility token, which offers further protections for consumers. It means the lender always plays by the rules that customers have come to know. Learn more about their disclosures and licenses.

Who are the industry "big wigs" backing BlockFi? They include:

  • Valar Ventures
  • Morgan Creek Capital
  • CMT Digital
  • Castle Island Ventures
  • Winklevoss Capital
  • SCB 10X
  • Avon Ventures
  • Purple Arch Ventures
  • Kenetic Capital
  • HashKey
  • And more

These companies each believe in the BlockFi vision for FinTech, which comes with an added layer of support and security for consumers.

Why hasn't BlockFi ever held an Initial Coin Offering (ICO) or required tokens? Because it remains committed to a scalable company with staying power. For these reasons, you know that when you send your crypto to BlockFi, it goes straight to a regulated custodian like Gemini.

The company lends Bitcoin to vetted institutional counterparties. These individuals use these funds for strategic trading and to better hedge their positions. BlockFi lends to multiple organizations, which minimizes default risks.

What's more, BlockFi maintains a sizable amount of collateral. This safeguard means customers can readily access their funds for withdrawal.

BlockFi Loan Basics

Besides stability and security, a BlockFi loan comes with other attractive elements. For starters, it offers the most affordable Bitcoin-to-USD lending rates. It also boasts the most extensive US lending footprint in the nation.

As Bitcoin owners, you likely don't want to sell your coins except as a last resort. But having the ability to access the value of your assets while HODLing remains an attractive concept. Bitcoin and Ethereum investors gain access to the value of their coins without the need to sell them.

After you've paid off your BlockFi loan, you'll receive the increased value of your coin, interest, or forked coins. Clients may then use this funding for a wide variety of activities, from paying taxes to buying homes and diversifying investment portfolios.

Some enterprise crypto holders use their crypto staking to fund payroll or expand business operations.

It takes just two minutes to apply for a BlockFi loan. After you've submitted your application, you'll receive a decision and loan terms within a couple of hours. Once accepted, BlockFi will wire your funds as USD. Some customers report applying for a crypto-backed loan and receiving funds in under 90 minutes.

BlockFi Terms and Rates

Like Ledn, BlockFi loans on a 12-month term. But you won't face any early repayment penalties. That said, you should consider how long you'd like the financing through the loan to work for you.

Although you'll need to consult the site for specifics, BlockFi advertises money rates as low as 4.5%.

BlockFi Pros and Cons

Benefits of BlockFi include low monthly payments and the ability to pay back your loan when you feel that it's most profitable. Whether that's six months or 12 months down the road.

BlockFi is also fast and convenient. Like Ledn, it permits you to use altcoins as collateral without the necessity of selling them, and you can take out loans in Ethereum or Litecoin, too. In most cases, you'll receive your funds the same day you apply for a loan.

You can borrow up to 50% of the value of your crypto holdings, permitting you to invest in various assets. If you're looking to broaden your portfolio, BlockFi remains a safe, reliable way to do so.

Bitcoin withdrawals are subject to a maximum withdrawal amount of 100 per rolling weekly period. The same goes for Ethereum withdrawals up to $5,000 per week. Stablecoin withdrawals are capped at $1 million per seven days.

There's no longer a minimum balance required to earn interest on your holdings. That said, your funds remain subject to the withdrawal restrictions of Gemini. These include 0.003 Bitcoin and 0.056 Ethereum. Check out BlockFi's fee schedule to learn more.

Similar Savings Accounts and Loans


Pros and cons of BlockFi


  • Insured wallets by AON and stored by Gemini which is regulated in NYC, United States
  • Created by reputable team with highly regarded US based investors
  • Competitive interest rates with flexible, transparent terms
  • No need to use or stake native currencies to get higher interest rates
  • Monthly compounding interest
  • No requirements for minimum withdrawal
  • No monthly fees
  • A single free withdrawal per month
  • No minimum amount on savings accounts
  • Accepts USA citizens
  • Facilitation of earning interest, trading, and borrowing from a centralized hub using the BlockFi app
  • Bitcoin rewards credit card


  • One free withdrawal per month with a 0.0025 BTC withdrawal fee after that
  • Complaints of withdrawals taking up to seven days
  • Only three collateral options
  • Loan terms that are limited to 12 months
  • Only one option to receive a loan in (USD)
  • High minimum loan amounts starting at $5,000
  • Low loan-to-value (LTV) ratios of 50 percent

Pros and cons of Ledn


  • No "utility" tokens
  • Bitcoin focused company
  • Cold-storage and proof-of-reserves
  • No monetization of users' data
  • Two-factor authentication
  • Data stored on private networks blocked from public IPs
  • Bitcoin offered through BitGo Custody
  • Minimal personal information requirements to open an account
  • In-house KYC and AML verification
  • No penalty fees for deposits and withdrawals


  • New company, two years old as of August 2020
  • Limited choices, offers a standard loan plan
  • No mobile app, only accessible in a web browser
  • Not available to individuals sanctioned by Canada
  • Not open to residents of New York, Connecticut, Washington, and Wyoming

Frequently asked questions about BlockFi

We’ve compiled some answers to questions we often get. Should you have any other questions, feel free to reach out below in the comments.

How often does BlockFi pay interest?

BlockFi pays interest once a month, compounding on your previous month‘s interest.

Can I earn interest on fiat currency with BlockFi?

BlockFi doesn’t pay interest on fiat currencies, however, they do offer up to 8.6% APR on GUSD. GUSD is a stablecoin backed by US Dollars. This means that for every GUSD, it is backed by one USD. This is a great option for people who want the stability of a fiat currency like USD, but the savings interest rates of crypto currency.

Where is BlockFi based?

BlockFi is based in NYC, New York, United States. It’s team is based their and most of their investors and advisors are based in the United States.

Will applying for a BlockFi account hurt my credit score?

Absolutely not. BlockFi won't do a credit check on you because your loan is based on collateral. It won't effect your credit score at all.

Who can I contact if something goes wrong?

BlockFi offer real-time chat and email at You can also call them on 646.779.9688

Can I earn interest in GBP or Euros with BlockFi

BlockFi only offers interest in GUSD, Bitcoin and Ethereum. They are, however, exploring other currencies in the near future.

Which countries does BlockFi support?

The BlockFi Interest Account isn't available to sanctioned or watchlist countries. It's also not available in New York, Connecticut, Washington, and Wyoming. BlockFi is available everywhere else.

Does BlockFi have Two-Factor Authentication?

Yes, BlockFi offers Two-Factor Authentication. It won't be set up by default, however, you can easily switch it on in the settings. If singing up with BlockFi, we highly recommend setting this up.

How often does BlockFi's interest compound?

BlockFi's savings accounts offer monthly compounded interest. If you withdraw within a given month, you will not receive the interest earned during that month.

Does BlockFi have an app?

Not yet, however, they tell us it's in the works and will be available in the coming months.

Is there a maximum amount I can deposit to BlockFi

No, BlockFi doesn't have any maximum deposits.

Does BlockFi have minimum deposits?

No, BlockFi don't have any minimum deposits.

Will I lose my interest for a given month if I withdraw?

No. BlockFi now offers to pay your interest on a pro-rata basis if you withdraw during a month in which you're earning interest.

How long does it take to withdraw funds?

It can take up to 7 days to withdraw funds, however, in practice it's usually in one business day

What is the duration of a BlockFi loan?

They are 12 months, however, there is no prepayment penalty.

Frequently asked questions about Ledn

We’ve compiled some answers to questions we often get. Should you have any other questions, feel free to reach out below in the comments.

What Services Does Ledn Offer?

When you open a Ledn account, you gain access to a suite of products, permitting you to take the greatest advantage of your digital assets. The platform's savings products provide customers with extra yield. 

Ledn's credit products permit customers to HODL their Bitcoin while still accessing dollars to purchase more crypto holdings.

How Does Ledn Wallet Work?

Ledn Wallet is a segregated wallet address for on-chain, real-time verification, or proof-of-reserves. Ledn offers insurance on user's assets through BitGo Insured Custody. As a result, you can rest assured your assets are safe with Ledn.

How Secure Is Ledn?

What about security? The website relies on multiple layers of protection to keep its users safe.

These include the use of passwords and HTTPS. All data deemed sensitive is encrypted with AES-256 and controlled by a set of strict internal security policies. 

What's more, the platform requires additional two-factor authentication and login actions to verify users' authenticity. Ledn keeps collateral Bitcoin in cold storage offline in vaults rated institutional-grade. These are located throughout Canada.

What Steps Does Ledn Take to Protect User Privacy?

Ledn doesn't monetize or sell any of its customer data to third parties, which is a significant relief for those using this platform. This approach to privacy means a reduced risk of data breaches, which is fantastic, no matter how you slice it.

What data does Ledn require from users? Only what's needed to meet compliance requirements. That said, the company never overreaches beyond requests for absolutely necessary information.

Can I Withdraw Assets at Any Time?

With a Ledn Savings Account, you can withdraw funds without any penalties at any time. You may also pay off your loan without any early payment penalties. 

Withdrawal requests get processed quickly, and the platform strives to have your Bitcoin in your wallet within 24 to 72 hours.

How Does Ledn Store User Data?

They store this data on private networks, blocked from public IPs. You may also request that Ledn delete this data at any time, making it an excellent option from a privacy standpoint.

Ledn vs. BlockFi

When it comes to crypto lending with Ledn vs. BlockFi, each company offers unique advantages and disadvantages. You'll need to consider your short- and long-term lending desires before deciding between these two crypto lending companies.

No matter which platform you choose, expect to see fast funding and a streamlined process. Are you interested in learning more about crypto loans? Here's what you need to know about the best crypto loans of 2020.

  • Features
  • Ease of use
  • Security
  • Support
  • Reputation
  • Fees
  • Overall
  • 3
  • 4
  • 4
  • 4
  • 4
  • 4
  • 3.83
Go to siteLedn
  • 4
  • 5
  • 4
  • 4
  • 5
  • 4
  • 4.33
Go to siteBlockFi

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