Unchained Capital Bitcoin Backed Loans: A Deep Dive

This service allows Bitcoin holders to use Bitcoin to access dollar liquidity while maintaining exposure to Bitcoin's potential upside.

How It Works

Unchained Capital's loan structure is designed with security and simplicity at its core. Borrowers can take out a loan by placing their Bitcoin as collateral, which is then distributed among three key holders to prevent any single party from unilaterally moving the funds. This multisignature approach ensures that the borrower's Bitcoin remains secure and observable on the blockchain throughout the loan term.

Key Features

Collaborative Custody

A unique feature that distributes keys among the borrower, Unchained Capital, and a third-party key agent, ensuring no single entity has complete control over the Bitcoin collateral.

Simple Collateral Management

The loan dashboard provides a clear health status for the loan, allowing borrowers to manage collateral easily, especially during market volatility.

Rapid Funding

The process is streamlined with no credit checks, enabling borrowers to receive US dollars in their bank account within two business days.

Flexible Terms

Loans start at a minimum of $10,000 with terms that can range from 90 to 360 days

FAQs

What is the minimum amount I can borrow?

The minimum loan amount is $10,000. For loans exceeding $250,000, Unchained Capital encourages direct contact to discuss the terms.

Are there any credit checks involved?

No, unlike traditional loans, Unchained Capital's Bitcoin backed loans do not require invasive paperwork or credit checks.

How is the security of my Bitcoin ensured during the loan term?

The Bitcoin collateral is protected through a collaborative custody model, which means no single person or company can move your Bitcoin without cooperation among the key holders.

Can I use the loan for any purpose?

Yes, you can use the loan for various large life events or financial needs, such as real estate purchases, business investments, tax payments, or debt consolidation.

Is Unchained Capital a licensed lender?

Yes, Unchained Capital is licensed to provide certain financial services, and loans may be originated by Lead Bank, an FDIC insured, state-charted bank.