Bitcoin financial services firm Onramp and lending platform Arch have partnered to introduce a bitcoin-backed lending service. The new product allows BTC holders to secure loans while keeping ownership of their assets, providing liquidity without needing to sell their bitcoin. Borrowers can use their bitcoin holdings as collateral and receive cash or stablecoins in return. This model is becoming popular among long-term BTC holders who want to retain their assets. Arch specializes in asset-backed loans and will handle the underwriting and loan distribution, while Onramp will integrate the service into its platform for users seeking alternative financing options.
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