Bitcoin Loan Calculator: United States
With bitcoin at $77,618, 1 BTC pledged at a 50% loan-to-value (LTV) secures a loan of about $38,809. At typical US terms (70% and 80% LTV), you would get a margin call if bitcoin fell to $55,442 and be liquidated at $48,511 — a fall of 37.5%. Since 2014, bitcoin fell that far at some point within the following 12 months in 33% of cases.
Live price · lender terms seen November 2026
| If bitcoin falls to | Change | Collateral worth | LTV | What happens |
|---|
LTV = loan ÷ collateral value. Liquidation price = price × starting LTV ÷ liquidation LTV (with interest added to the loan, it rises over the term). Simple interest; real lenders may charge fees, use different LTV steps and sell only part of your collateral. Not financial advice.
Bitcoin Lenders in the US
As published by each lender (seen November 2026). LTV: starting / margin call / liquidation. Terms change often: check before you borrow.
| Lender | LTV | Rate | Minimum | Custody | Re-uses your bitcoin? | Not available in |
|---|---|---|---|---|---|---|
| LednRates fall with loan size (11.49% under $250,000). | 50% / 70% / 80% | 9.25–11.49% | $500 | Custodial (third-party custodian) | May re-post collateral to its funding partners | US: CA, CT, HI, NV, ND, SD, TN, WA, DC. Canada: QC, NB, NS, SK |
| Strike | 50% / 70% / 85% | 7.49–14.2% | $10,000 | Custodial, segregated wallet | Says it never rehypothecates; its terms allow re-pledging to capital providers | Some states (reported: CA, NY, TX for some products) |
| CoinbaseVariable rate, set by the Morpho market; a one-time fee is added. | 75% / — / 86% | Variable | — | On-chain: BTC wrapped as cbBTC in a Morpho smart contract | Locked in the smart contract | NY |
| Arch Lending | 60% / 70% / 80% | 7.25–10.49% | — | Anchorage Digital (qualified custodian) | No | CA, DE, MS, MT, NV, ND, RI, VT (consumer loans) |
| Figure | 50% / — / — | 9.99–12.62% | $5,000 | Segregated MPC wallets | No | DC, ID, IL, KY, MD, MS, SD, TX, VT, VA |
| SALT Lending | 50% / 83.33% / 90.91% | 7.49–14.45% | — | Custodial (Fireblocks) | No | NY, ND, SD |
| Nexo | 50% / — / 83.33% | 0.9–15.9% | $50 | Custodial (Nexo) | Not stated | NY |
| Unchained | 50% / — / — | 14.18% | $150,000 | 2-of-3 multisig: you hold one key | No | Some states |
| Milo | 50% / 67% / 77% | from 10.75% | $5,000 | BitGo or Coinbase Custody, segregated account | No | Some states |
Tax (IRS)
Borrowing against bitcoin is not a sale: the IRS treats bitcoin as property, a loan isn't income, and your cost basis and holding period carry on while the coins are pledged. If the lender sells collateral (a partial liquidation after a margin call, a forced liquidation or a default), you are treated as having sold that bitcoin, with a capital gain or loss — short-term if you held it a year or less. Paying interest or fees in bitcoin is also a sale. Interest is deductible only according to how you use the money: not for personal spending, as investment interest (itemised, up to net investment income) if you buy taxable investments, or as a business expense for business use; a loan secured only by bitcoin isn't home-mortgage interest. The IRS has no guidance written for crypto-backed loans, and if a lender takes ownership of your coins or may re-lend them, there is an untested argument that handing them over is itself a sale. Ask a tax professional.
Rules and risks
There is no federal licence for crypto-backed consumer loans; lenders are licensed state by state, which is why each one excludes some states (New York most often). California requires a California Financing Law licence and fined Nexo $500,000 in 2026 for unlicensed loans. The lesson of 2022 — Celsius, BlockFi, Voyager and Genesis went bankrupt after re-lending customers' coins, and Celsius's customers were found to have handed over ownership — is that your collateral is only as safe as the contract and the custodian. Crypto collateral has no FDIC or SIPC protection. Prefer a lender that keeps your bitcoin with a named qualified custodian or in a multisig where you hold a key, contractually bans re-lending or re-pledging it, publishes its margin-call and liquidation levels, and is licensed in your state.
Sources: IRS: digital assets · IRS FAQ: interest deductions · California DFPI: Nexo fine · SEC: BlockFi settlement · FTC: Celsius. General information, not tax or legal advice.
Bitcoin Loans: FAQ
How does a bitcoin-backed loan work?
You hand your bitcoin to a lender (or lock it in a multisig or smart contract) as collateral and borrow cash or stablecoins against it, usually up to 50% of its value. You pay interest and get the bitcoin back when you repay. If the price falls and the loan grows too large compared with the collateral, the lender asks for more bitcoin or a repayment (margin call) and, if the loan-to-value keeps rising, sells some or all of your bitcoin (liquidation).
What is the liquidation price of a bitcoin loan?
Liquidation price = bitcoin price today × starting LTV ÷ liquidation LTV. At 50% and 80%, that is 62.5% of today's price: $48,511 for a loan taken now. Interest added to the loan pushes it higher over time.
How likely is a liquidation?
Since 2014, bitcoin fell 37.5% or more below the starting price at some point within the next 12 months in about 33% of all start days. A lower starting LTV, adding collateral after a margin call or repaying early cuts that risk; the past doesn't predict the future.
Do you pay tax when you borrow against bitcoin?
Not when you borrow: a loan isn't a sale or income. A liquidation is a sale. See the tax section below.
Related: profit calculator · bitcoin drawdowns · volatility · bitcoin tax by country · Canadian lenders