Crypto lending in 2026: From fixed-term loans to open-ended credit lines

cryptonews10-14 20:02

Borrowing against Bitcoin is nothing new. Over the past decade, this market has moved away from fixed-term loans and toward open-ended credit lines, and the way holders reach cash has shifted with it....

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2675341408?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-10-14 20:02","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2675341408","market":"fut","top_or_hot":-1,"title":"Crypto lending in 2026: From fixed-term loans to open-ended credit lines","media":"cryptonews","content":"<div>\n<p>Borrowing against Bitcoin is nothing new. Over the past decade, this market has moved away from fixed-term loans and toward open-ended credit lines, and the way holders reach cash has shifted with it....</p>\n\n<a href=\"https://crypto.news/crypto-lending-in-2026-from-fixed-term-loans-to-open-ended-credit-lines/\">Source Link</a>\n\n</div>\n","source":"crypto_news_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Crypto lending in 2026: From fixed-term loans to open-ended credit lines</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCrypto lending in 2026: From fixed-term loans to open-ended credit lines\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-10-14 20:02 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://crypto.news/crypto-lending-in-2026-from-fixed-term-loans-to-open-ended-credit-lines/><strong>cryptonews</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Borrowing against Bitcoin is nothing new. Over the past decade, this market has moved away from fixed-term loans and toward open-ended credit lines, and the way holders reach cash has shifted with it....</p>\n\n<a href=\"https://crypto.news/crypto-lending-in-2026-from-fixed-term-loans-to-open-ended-credit-lines/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"TEKX","symbol_name":"SPDR Galaxy Transformative Tech Accelerators ETF","start_time":0,"source_url":"https://crypto.news/crypto-lending-in-2026-from-fixed-term-loans-to-open-ended-credit-lines/","article_id":"2675341408","we_media_id":null,"thumbnails":[],"rights":{"source":"crypto_news_highlight","url":"https://crypto.news/crypto-lending-in-2026-from-fixed-term-loans-to-open-ended-credit-lines/","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2675341408","pubTimestamp":1791979365,"columns":[],"sourceInfo":{"source_id":"crypto_news_highlight","name":"Crypto News"},"weMediaInfo":null,"summary":"Borrowing against Bitcoin is nothing new. Over the past decade, this market has moved away from fixed-term loans and toward open-ended credit lines, and the way holders reach cash has shifted with it. Here are the basics of lending and savvy borrowing.Crypto lending allows holders to access fiat or stablecoins without selling their Bitcoin or other digital assets, preserving their exposure to potential price gains.Unlike fixed term loans, crypto credit lines have no set maturity date and allow borrowers to access funds repeatedly as they repay outstanding balances.Centralized lenders typically handle custody and identity verification, while decentralized protocols use smart contracts to manage collateral, borrowing and repayment.Borrowing against crypto may avoid an immediate taxable sale in some jurisdictions, although tax treatment varies and collateral liquidation can create tax obligations.A fixed-term cryptocurrency loan locks up collateral for a set amount of time  with a fixed i","collect":0,"end_time":0,"defaultTopTitle":"crypto.news","property":[],"viewcount":null,"language":"en","relate_stocks":{"TEKX":"SPDR Galaxy Transformative Tech Accelerators ETF","BITI":"1倍做空比特币期货ETF-Proshares","CBXA":"Calamos Bitcoin 90 Series Structured Alt Protection ETF – April","BITO":"比特币期货ETF-ProShares","BTC":"Grayscale Bitcoin Mini Trust","CBXJ":"Calamos Bitcoin 90 Series Structured Alt Protection ETF - January","BRRR":"比特币ETF-CoinShares","BITQ":"Bitwise Crypto Industry Innovators ETF","BPI":"Grayscale Bitcoin Premium Income ETF","DFII":"FT Cboe Vest Bitcoin Strategy & Target Income ETF","BTCC":"Grayscale Bitcoin HIGH Income ETF","BFAP":"FT Vest Bitcoin Strategy Floor15 ETF - April","IBIT":"比特币ETF-iShares","CBXO":"Calamos Bitcoin 90 Series Structured Alt Protection ETF - October","SBIT":"2倍做空比特币期货ETF-Proshares","BITU":"2倍做多比特币期货ETF-Proshares","BAGY":"Amplify Bitcoin Max Income Covered Call ETF","BKCH":"AdvisorShares Sabretooth ETF","CBXY":"Calamos Bitcoin 90 Series Structured Alt Protection ETF - July","QBF":"Innovator Uncapped Bitcoin 20 Floor ETF - Quarterly","BITW":"Bitwise 10 Crypto Index ETF","LFGY":"YieldMax Crypto Industry and Tech Portfolio Option Income ETF","CBOA":"Calamos Bitcoin Structured Alt Protection ETF - April","FBTC":"比特币ETF-Fidelity","HODL":"比特币ETF-VanEck","XBTY":"GraniteShares YieldBOOST Bitcoin ETF","BCCC":"Global X Bitcoin Covered Call ETF","ARKB":"比特币ETF-21Shares","CBOJ":"Calamos Bitcoin Structured Alt Protection ETF - January","BITX":"2倍比特币期货ETF-Volatility Shares","EZBC":"比特币ETF-Franklin","BTCO":"比特币ETF-Invesco Galaxy","BITY":"Amplify Bitcoin 2% Monthly Option Income ETF","DAPP":"VanEck Digital Transformation ETF","BTRN":"比特币期货ETF-Global X","BITB":"比特币ETF-Bitwise","CRPT":"First Trust SkyBridge Crypto Industry and Digital Economy ETF","STCE":"Schwab Crypto Thematic ETF","NCIQ":"HASHDEX NASDAQ CRYPTO INDEX US ETF","GDLC":"Grayscale CoinDesk Crypto 5 ETF","CBOO":"Calamos Bitcoin Structured Alt Protection ETF - October","DIME":"CoinShares Altcoins ETF","BTCW":"比特币ETF-Wisdom Tree","BFJL":"FT Vest Bitcoin Strategy Floor15 ETF - July","CBTO":"Calamos Bitcoin 80 Series Structured Alt Protection ETF - October","DEFI":"比特币期货ETF-Hashdex","CBTY":"Calamos Bitcoin 80 Series Structured Alt Protection ETF - July"},"translate_title":"2026 年的加密货币贷款：从定期贷款到开放式信贷额度","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BITO":0.6,"HODL":0.6,"GDLC":0.9,"BTRN":0.6,"DEFI":0.6,"TEKX":0.9,"BITY":0.6,"SBIT":0.6,"BFAP":0.6,"CBXY":0.6,"BTCW":0.6,"BITI":0.6,"XBTY":0.6,"QBF":0.6,"BFJL":0.6,"BRRR":0.6,"BITQ":0.9,"BCCC":0.6,"BTC":0.6,"BPI":0.6,"BAGY":0.6,"STCE":0.9,"CRPT":0.9,"BITB":0.6,"DAPP":0.9,"BTCO":0.6,"DFII":0.6,"NCIQ":0.9,"BTCC":0.6,"CBXO":0.6,"BITW":0.9,"CBOO":0.6,"CBXA":0.6,"DIME":0.9,"ARKB":0.6,"BKCH":0.9,"CBTO":0.6,"LFGY":0.9,"CBOA":0.6,"IBIT":0.83,"CBTY":0.6,"BITU":0.6,"CBXJ":0.6,"FBTC":0.6,"CBOJ":0.6,"BITX":0.6,"EZBC":0.6},"content_text":"Borrowing against Bitcoin is nothing new. Over the past decade, this market has moved away from fixed-term loans and toward open-ended credit lines, and the way holders reach cash has shifted with it. Here are the basics of lending and savvy borrowing.\n\n\nSummary\n\n\n\nCrypto lending allows holders to access fiat or stablecoins without selling their Bitcoin or other digital assets, preserving their exposure to potential price gains.\nUnlike fixed term loans, crypto credit lines have no set maturity date and allow borrowers to access funds repeatedly as they repay outstanding balances.\nCentralized lenders typically handle custody and identity verification, while decentralized protocols use smart contracts to manage collateral, borrowing and repayment.\nBorrowing against crypto may avoid an immediate taxable sale in some jurisdictions, although tax treatment varies and collateral liquidation can create tax obligations.\nFalling collateral prices increase loan to value ratios and can trigger forced liquidation, making borrowing limits and collateral management important considerations.\n\n\n\nHODLer’s dilemma\n“To sell or not to sell” is a common theme in heated Reddit threads. To buy real-world goods or cover daily living expenses, holders still have to convert crypto back into fiat currency, but there are several reasons to think twice before doing so. \nGiving up all future price gains is only part of the problem. Depending on the jurisdiction, sellers may trigger capital gains tax right away. \nCrypto lenders found a solution to this conundrum: separating spending power from ownership. The crypto temporarily goes to the lender, or into a DeFi smart contract, as collateral, and the borrower receives fiat or stablecoins in return. The platform releases the collateral (with its upside potential intact) when the loan is repaid. \nHow much can be taken out depends on what the lender will lend against a specific asset. The borrower gets a percentage of their collateral value, based on the platform’s LTV (loan-to-value) tiers. Stablecoins usually have the highest borrowing power (over 85% on Clapp). \nWhere the market is\nLending comes in two main forms, fixed-term loans and credit lines, following the same foundational logic. Instead of cashing out Bitcoin or Ethereum, borrowers post it as collateral and receive fiat or stablecoins, often within minutes.\nBanks weigh income and credit history, while platforms that loan crypto, whether crypto-to-crypto or crypto-to-fiat, mostly look at one thing: whether the collateral is enough to back the loan. This model removes several constraints of traditional finance, including paperwork and, to a degree, geographic limits, though product availability still varies by region. \nHow does a crypto loan work?\nA fixed-term cryptocurrency loan locks up collateral for a set amount of time (usually between one month and a year) with a fixed interest rate. Repayment terms vary: some lenders require interest-only monthly payments with the principal due at the end; others accrue interest that is paid in full at maturity.\nA credit line does not have an end date or a fixed schedule. It replenishes as users repay and may also let one borrow against a basket of cryptocurrencies. Clapp users, for example, may combine up to 25 assets and reshuffle them while the line is active. Interest rates often float depending on LTV. \nCeFi vs DeFi\nCentralized (CeFi) and decentralized (DeFi) lending coexist and work differently behind the scenes. For many, this is a choice between familiarity and customer support versus pseudonymity. \nOn DeFi platforms, lending runs entirely on smart contracts, which are automatic if-then agreements on a public blockchain. Users interact with the protocol directly, with no intermediary, identity checks or customer support, and interest rates are guided by algorithm, moving with supply and demand.\nIn CeFi, the platform is the intermediary. It handles custody and identity verification (KYC/AML) and often provides direct access to fiat payment systems. Risk management combines automated systems with human oversight, while regulatory compliance gives institutions a more familiar framework to work within.\nThe DeFi sector remains largely unregulated, as platforms typically do not have a corporate operator to hold a license or enforce compliance.\nWhen users choose to borrow instead of selling\nIn most cases, people have three reasons: keeping their upside, getting cash quickly, and not triggering a taxable sale.\nHolding on to potential gains\nAfter posting crypto as collateral, the borrower remains exposed to its price throughout the life of the loan or credit line, unless it is liquidated. Imagine a holder taking out a crypto loan against 1 BTC for a year, during which the price goes up 50%. All the gains, minus the interest paid, are theirs, not the lender’s. When the loan is paid back, the collateral is released.\nCash on short notice\nAn instant crypto loan or credit line is usually a matter of a few taps. The user picks the asset to borrow, sets the collateral amount and confirms, and the funds arrive within moments.\nAlternative to a taxable sale\nIn many jurisdictions, selling crypto for fiat, or even swapping one crypto for another, creates a tax obligation. In the United States, the IRS treats virtual currency as property, so the rules resemble those for stocks: selling Tesla shares and Bitcoin at a profit both trigger capital gains tax. The UK’s Cryptoassets Manual by HMRC treats sales similarly. Rules differ by country, and a loan can still become a taxable event if the collateral is liquidated.\nKey risk: Liquidation\nA price drop is a problem for borrowers too. As collateral loses value, LTV rises, and if it crosses the platform’s liquidation threshold (over 90% on Clapp), part of the collateral is sold to restore a healthy ratio. In a sharp crash, that sale can happen close to the bottom, which is the worst time to sell.\nThere are several ways to reduce that risk:\n\nBorrowing less, and adding collateral as its value declines.\nKeeping backup capital in fiat or stablecoins for top-ups or partial repayment.\nChoosing CeFi lenders, which may send margin call notifications.\nUsing multi-collateral credit lines that allow topping up or swapping pool assets at any time. Replacing more volatile tokens with stablecoins may enlarge the safety buffer.\n\nKeys to smooth borrowing\nA loan for crypto holders gives cash without a sale, so they keep their price exposure and may not trigger an immediate taxable event. The flipside is liquidation risk, which a low LTV and some spare capital for top-ups help keep in check. \nCredit lines add flexibility on top of that: there is no fixed repayment date, and on multicollateral products the borrower can add, remove or swap collateral assets while the line is open. Whichever format fits, check the liquidation threshold alongside fees and repayment terms.\n\n\n\n\n\n                Read more:\n            \n\n                Kraken parent Payward signs deal to buy European bank","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":false,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":false,"need_login_tip":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"isLaohu8Offline":false,"tenantId":"TBGLOBAL","deviceId":"web-server-community-laohu8-v3","version":"4.50.1","shortVersion":"4.50.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2675341408","isCrawlerRequest":true}