Ledn adds Tether Gold as loan collateral, expanding Bitcoin-backed lending model

Ledn began accepting Tether Gold (XAUT) as collateral for Bitcoin-backed loans on May 15, 2024, broadening its product offering. This move integrates a tokenized commodity into Ledn's existing model, which previously focused on Bitcoin as collateral for USD loans. The expansion aligns with a growing trend in tokenized real-world assets (RWAs), a sector that now represents approximately 17% of the total $43 billion RWA market. Ledn aims to provide clients with more diversified options for leveraging their digital assets, enabling them to access liquidity without selling their Bitcoin holdings. The company stated that the inclusion of XAUT offers a way for clients to secure loans against a tangible asset that is pegged to the price of gold, providing a hedge against inflation and market volatility. This strategic addition is expected to attract a wider range of investors seeking to utilize both digital currencies and tokenized commodities within a single lending platform.