{"id":5855,"date":"2025-12-18T15:17:22","date_gmt":"2025-12-18T15:17:22","guid":{"rendered":"https:\/\/digkrypton.com\/index.php\/2025\/12\/18\/ledn-publishes-industry-first-monthly-loan-book-and-proof-of-reserves-data\/"},"modified":"2025-12-18T15:17:22","modified_gmt":"2025-12-18T15:17:22","slug":"ledn-publishes-industry-first-monthly-loan-book-and-proof-of-reserves-data","status":"publish","type":"post","link":"https:\/\/digkrypton.com\/index.php\/2025\/12\/18\/ledn-publishes-industry-first-monthly-loan-book-and-proof-of-reserves-data\/","title":{"rendered":"Ledn Publishes Industry-First Monthly Loan Book and Proof of Reserves Data"},"content":{"rendered":"

Bitcoin Magazine<\/a><\/p>\n

Ledn Publishes Industry-First Monthly Loan Book and Proof of Reserves Data<\/a><\/p>\n

<\/div>\n

Ledn<\/a>, one of the world\u2019s largest\u00a0bitcoin lenders<\/a>, announced its Open Book Report, a reserves transparency benchmark designed to expose the kind of risk that caused the 2022 FTX-driven crypto crash.<\/span>\u00a0<\/p>\n

According to a press release shared with Bitcoin Magazine, \u201cTraditional lenders (including Citi, JPMorgan, Wells Fargo, BNY Mellon, Schwab, and Bank of America) are reportedly<\/a> entering the space amid a regulatory vacuum in terms of rehypothecation practices and proof of reserves.\u201d With the passing of the\u00a0GENIUS Act, which greenlit treasury-backed stablecoins<\/a>, Wall Street now has a road to service the crypto market and even upgrade its own rails and infrastructure.<\/span>\u00a0<\/p>\n

But there are still those who call for clearer regulatory structure for crypto counter parties, Ledn points out that \u201cGlobal rules<\/a> on crypto capital requirements & proof of reserves remain in flux, with the US and UK refusing to implement Basel\u2019s proposed framework,\u201d adding that \u201cIOSCO is pushing<\/a> regulators to hold crypto custody and lending to the standards of traditional finance, yet almost no institution has disclosed how bitcoin collateral is managed, whether it\u2019s rehypothecated, or what happens in a liquidation scenario.\u201d\u00a0<\/p>\n

John Glover, Chief Investment Officer at Ledn and former Managing Director at Barclays, explained that \u201cIf lenders do not have to disclose how they use client collateral, the clients become the leverage. We saw what happened when BlockFi, Celsius, and Voyager operated in the dark. The difference now is that the balance sheets are bigger.\u201d He warned that \u201cThis is how we get a 2022-style lending crisis at institutional scale.\u201d<\/p>\n

Ledn\u2019s Open Book Report<\/a>, launched today, showcases \u201cthe industry\u2019s longest-running Proof of Reserves,\u201d according to the press release.<\/span> The report exposes Ledn\u2019s BTC loan book, collateral levels, and aggregate loan-to-value ratios. According to the report, the Network Firm LLP, a U.S.-based certified public accounting firm, independently audited & confirmed that 100% of collateral is held in custody.<\/p>\n

The report also reveals \u201c$868 million in outstanding BTC-backed loans, with 18,488 BTC in collateral posted, held 100% BTC in custody; all BTC collateral is held in on-chain addresses and\/or custodial accounts.\u201d Ledn\u2019s average loan-to-value ratio stands at 55%, an aggregate LTV well below industry liquidation thresholds. Since 2018, the company has funded \u201c$10.2 billion in lifetime loans across 47,000 originations.\u201d<\/p>\n

This framework looks to move the industry past one-off snapshots\u2014starting with monthly disclosures and laying the groundwork for more continuous, real-time transparency over time. Unlike self-reported wallet addresses, Ledn\u2019s approach combines monthly reporting on loan book metrics\u2014including outstanding loans, collateral posted, and average LTV\u2014with reporting from The Network Firm LLP. Ledn also maintains Proof of Reserves attestations on a semiannual basis (every two quarters), confirming that assets exceed client liabilities, with \u201cMerkle tree methodology\u201d enabling clients to confirm their balances were included.<\/p>\n

While some companies have announced \u201cproof of reserves\u201d by publishing wallet addresses, Glover argues this falls short. \u201cTrue transparency requires independent reporting, regular updates, and methodologies anyone can check,\u201d said Glover. \u201cClients shouldn\u2019t have to take anyone\u2019s word for it.\u201d<\/p>\n

Ledn recently received a strategic investment from Tether and has an\u00a0impeccable track record<\/a>\u00a0of protecting client assets across its loan originations, surviving the 2022 crypto lender crisis, and at least one other bear market before that.<\/span>\u00a0<\/p>\n

The press release warns that \u201cas traditional financial institutions accelerate their entry into bitcoin-backed lending, Ledn\u2019s Open Book Report establishes the baseline against which these new entrants should be held, before regulators mandate it.\u201d\u00a0<\/p>\n

This post Ledn Publishes Industry-First Monthly Loan Book and Proof of Reserves Data<\/a> first appeared on Bitcoin Magazine<\/a> and is written by Juan Galt<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

Bitcoin Magazine Ledn Publishes Industry-First Monthly Loan Book and Proof of Reserves Data Ledn, one of the world\u2019s largest\u00a0bitcoin lenders, announced its Open Book Report, a reserves transparency benchmark designed to expose the kind of risk that caused the 2022 FTX-driven crypto crash.\u00a0 According to a press release shared with Bitcoin Magazine, \u201cTraditional lenders (including […]<\/p>\n","protected":false},"author":0,"featured_media":5856,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-5855","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-bitcoin"},"acf":[],"_links":{"self":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/posts\/5855","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/comments?post=5855"}],"version-history":[{"count":0,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/posts\/5855\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/media\/5856"}],"wp:attachment":[{"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/media?parent=5855"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/categories?post=5855"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/digkrypton.com\/index.php\/wp-json\/wp\/v2\/tags?post=5855"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}