Celsius and BlockFi burned the book, but new players are quietly rewriting it â with more caution, less hype, and scars that still sting.
â No more black boxes?
đĄ Lenders now avoid the ârehypothecation rouletteâ that tanked billions â promising overcollateralization, public reserves, and lower LTVs
đĄ Retail is mostly gone â loans are now used for #liquidity , tax deferral, or balance sheet play by corporates and long-term holders
đĄ Platforms like Strike say never again to reusing your $BTC , while others offer full disclosure or third-party custody
đŹ âRehypothecation still worries users â some are doing it better, but itâs the same 2021 story if transparency is missing,â says Accountable CEO Wojtek Pawlowski
đ Safer â bulletproof
đĄ #BTC still swings 5%+ in a day â even conservative 40-50% LTV can collapse if markets dive
đĄ Collateral pools are mostly single-asset and can still vanish overnight
đĄ Modern lenders promise no yield-farming with user BTC â but one hidden repackaging, and the dominoes fall again
đ€ Whoâs borrowing now?
đĄ Total CeFi #bitcoin loan book rebounded to $13.5B in Q1 2025 (up 9% QoQ)
đĄ Institutions and long-term HODLers are borrowing against BTC to access liquidity without triggering capital gains
đĄ But even they remain wary â because smart contracts donât protect you from a 20% crash
đŹ âLower leverage, public reserves, even banking licenses â all improvements. But donât pretend this thingâs bulletproof,â warns Savea CEO Sam Mudie
Bitcoin lending isnât dead. But it's no longer the casino it used to be. And maybe thatâs a good thing.
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