Crypto lender Ledn experienced significant growth in loan transactions during the third quarter, processing a total of $506 million. The majority of loans, $437.7 million, were issued to institutional clients, while retail loans increased by 225% year-over-year to reach $68.9 million. The surge in retail loans is attributed to the Celsius refinancing program, the launch of crypto ETFs, and a period of reduced market volatility. Ledn has processed a total of $1.67 billion in loans so far this year, with $1.41 billion going to institutional clients. The growing demand for digital asset-backed lending is driven by the need for alternative financing options, tighter monetary policies, and competition for dollar-based funding. Macro-economic conditions such as rising inflation, economic uncertainty, and the desire for portfolio diversification also contribute to the increased demand. Ledn's CIO highlighted that institutional demand spiked in July, possibly influenced by the SEC's approval of Ethereum ETFs. The upcoming US elections are seen as a potential catalyst for Bitcoin's price and could further drive institutional borrowing demand.



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