Bitcoin Loan Rates Compared: Every Platform in 2026
You already checked three platforms this week. The rates looked different on every one. Some showed an APR. Others buried fees in the fine print. One advertised 2.9% but required you to hold a bag of their token to get it.
That confusion is not an accident. Platforms benefit from it.
This post lays out every major bitcoin loan rate in 2026 with real numbers, real conditions, and honest commentary on what each option actually costs.
Every bitcoin loan rate in 2026, compared
Here is the full comparison table. We have included APR ranges, maximum loan-to-value ratios, custody models, and whether each platform lends out your deposited BTC to other borrowers (rehypothecation).
| Platform | APR Range | Type | Max LTV | Custody | Rehypothecation |
|---|---|---|---|---|---|
| Lava | 5-6.5% fixed | Non-custodial | 50% | Self-custody | No |
| Ducat | ~8-12% variable | Non-custodial | 70% | Vault (self-custody) | No |
| Aave | 1-5% variable | DeFi | 70% | Smart contract | No |
| Strike | 9.5% fixed | CeFi | 50% | Custodial | Not disclosed |
| Ledn | 11.9% fixed | CeFi | 50% | Custodial | No |
| Arch Lending | 10-14% + fees | CeFi | 50% | Custodial | No |
| Nexo | 2.9-18.9% | CeFi | 50% | Custodial | Partial |
| YouHodler | 10-27% | CeFi | Up to 90% | Custodial | Yes |
Those numbers deserve context. A headline rate alone tells you very little.
What each platform actually charges
Lava offers the lowest fixed-rate non-custodial option we have found. At 5 to 6.5% APR, it undercuts most CeFi lenders. The platform launched in 2024 and operates without taking custody of your BTC. Liquidity is smaller than established CeFi lenders, which can affect large loan sizes. For loans under $500,000, it works well.
Ducat sets rates algorithmically based on vault utilisation and UNIT stablecoin peg health. In early 2026, rates have ranged between 8% and 12%. No company sets the rate. No one can change it for individual borrowers. You also cannot negotiate. Your BTC stays in a on Bitcoin L1, not wrapped on Ethereum.
Aave looks cheapest on paper. Variable rates have dipped below 1% during quiet periods. But they spiked above 5% in February 2026 during high borrowing demand. You cannot lock in a rate. Over a 12-month loan, your total cost is unpredictable. Aave also requires wrapping your BTC (wBTC or cbBTC) to use it on Ethereum, which introduces bridge risk. Check current rates on Aave's official site.
Strike charges a flat 9.5% APR. Simple, fixed, custodial. No token gimmicks. The product targets holders who want a clean experience without managing wallets or smart contracts. Strike holds your BTC for the duration. Visit Strike for their current terms.
Ledn charges 11.9% APR at 50% LTV. Fixed rate, no hidden fees, no rehypothecation. Ledn survived the 2022 lending crisis without freezing withdrawals, which counts for something in this industry. It is a pure CeFi product. You hand over your BTC and trust the company.
Arch Lending lists rates at 10 to 14% APR, but adds an origination fee of 1 to 2%. On a six-month loan, that origination fee effectively adds 2 to 4% to your annualised cost. The headline rate understates the real expense. Factor in total cost before comparing Arch to fixed-rate alternatives.
Nexo advertises rates starting at 2.9%. That number applies only to borrowers holding large amounts of NEXO tokens. For most people, the effective rate lands between 8% and 14%. The 2.9% figure is marketing. Nexo also partially rehypothecates collateral, adding a layer of counterparty risk that pure custodial lenders like Ledn avoid.
YouHodler offers the highest LTV in the market at up to 90%. Rates range from 10% to 27%. The platform rehypothecates your BTC. High LTV plus rehypothecation is a combination that magnifies risk on both sides. A 15% BTC price drop at 90% LTV triggers immediate liquidation.
CeFi vs DeFi bitcoin loan rates
CeFi platforms (Ledn, Strike, Arch, Nexo) handle everything. You deposit BTC, they manage the loan. Support teams exist. The process feels familiar if you have used a bank.
The cost of that simplicity is custody. Your BTC sits on their balance sheet. Celsius paid competitive rates too, right up until it froze withdrawals and filed for bankruptcy in 2022. Not every CeFi platform is Celsius. But the structural risk exists with all of them.
DeFi protocols (Aave, Lava, Ducat) remove the company from the middle. Smart contracts or vault protocols hold your collateral. No withdrawal freeze is possible. No single corporate failure can lock your funds.
The tradeoff is complexity. Self-custody means you manage your own security. A mistake with a wallet address cannot be reversed by a support team. DeFi also tends toward variable rates, though Lava is a notable exception with its fixed-rate offering.
For a detailed breakdown of how non-custodial models work, read our .
Fixed vs variable bitcoin loan rates
Fixed rates give you certainty. You know your monthly cost before you sign. Most CeFi lenders offer fixed rates in the 10 to 16% range. Lava offers fixed rates at 5 to 6.5% without custodial risk.
Variable rates follow market conditions. Aave and Ducat both use variable pricing. In 2025 and early 2026, DeFi variable rates have generally been cheaper than CeFi fixed rates. But they can spike fast when borrowing demand increases.
Short loans under three months often cost less at variable rates if you watch the market. Longer-term borrowing, anything over six months, benefits from the predictability of fixed rates. A rate spike halfway through a 12-month loan can eliminate any savings you expected from starting lower.
What the APR does not tell you
Origination fees. Arch Lending charges 1 to 2% upfront. On short loans, this fee matters more than the APR itself.
Liquidation thresholds. A platform offering 70% LTV might trigger liquidation at 83% LTV. A 20% BTC price drop from the time you borrowed could force the sale of your collateral. Start at 50% LTV or below and you need a 40%+ price drop before liquidation becomes a concern.
Early repayment penalties. Some platforms charge you for paying back early. Check the terms before borrowing if you think you might repay ahead of schedule.
Token requirements. Nexo's best rates require holding their token. That means taking on additional asset risk just to get a lower borrowing rate. If the token drops in value, your effective discount disappears.
Collateral type. Aave requires wrapped BTC on Ethereum. That introduces bridge risk. If a bridge exploit hits your wrapped BTC, the underlying Bitcoin is fine but your collateral is not. Ducat and Lava operate on Bitcoin itself, avoiding this entirely.
Which rate suits which borrower
Every borrower has different priorities. Rate alone should not drive the decision.
Lowest possible cost, comfortable with DeFi. Aave during quiet market periods. Accept the variable rate risk and the need to wrap your BTC.
Fixed rate, no custody risk. Lava at 5 to 6.5%. The best combination of low cost and self-custody available right now.
Simple CeFi experience, fixed rate. Ledn at 11.9% or Strike at 9.5%. You hand over your BTC and get a clean, predictable product.
Bitcoin-native, non-custodial, with a BTC-backed stablecoin. Ducat. Your BTC stays in a vault on Bitcoin L1. You receive UNIT or USDC. No wrapping required. Our explains the full process.
Maximum borrowing power, high risk tolerance. YouHodler at up to 90% LTV. Understand that you are one bad day from liquidation at that level.
The honest take
Bitcoin loan rates in 2026 range from roughly 5% to 16% for most realistic borrowing scenarios. Below 5% typically means variable rates that can spike. Above 16% typically means high-LTV products with severe liquidation risk.
The platform choice matters as much as the rate. A 6% loan where your BTC sits in a non-custodial vault carries different risk than a 6% loan where a company holds your coins. Both cost the same in interest, but only one depends on a company staying solvent.
Check multiple platforms. Read the fee schedules, not just the headline APR. Understand your liquidation price before you deposit a single sat.
For more detail on , start with our full guide.
Rates referenced are current as of 28 March 2026. Terms and rates change frequently. Check each platform directly before borrowing. This is not financial advice.
