- Client: Ultra-high-net-worth individual based in Dubai
- Challenge: Securing a circa £100 million crypto-backed loan against a substantial Bitcoin portfolio with institutional custody, competitive pricing and a lender capable of funding a facility of this size
- Loan Amount: Circa £100 million non-recourse crypto-backed loan
A Dubai-based ultra-high-net-worth client approached Enness Global seeking to unlock significant liquidity from an extensive Bitcoin portfolio without selling their digital assets. The objective was to diversify investments while maintaining long-term exposure to cryptocurrency through a large-scale, non-recourse lending solution.
Transactions of this size present challenges beyond simply sourcing finance. The pool of lenders capable of providing institutional-scale crypto-backed facilities is limited, particularly where borrowers require competitive pricing, robust custody arrangements and the ability to complete without syndicated funding. In addition, lenders must undertake extensive due diligence on the source of digital assets, ownership verification and custody arrangements before approving facilities of this scale.
The client was introduced to Enness by a trusted professional adviser who required complete discretion, efficient execution and access to specialist institutional lenders with experience in large cryptocurrency-backed lending.
Drawing on our international lender network, Enness identified a funding partner capable of providing a circa £100 million rolling non-recourse facility secured against the client's Bitcoin holdings. The proposed terms included a 70% loan-to-value structure with a fixed annual interest rate of 6.5%, supported by institutional-grade custody solutions and without the need for lender syndication.
By presenting a comprehensive verification package covering the client's cryptocurrency holdings and working closely with both borrower and lender throughout the due diligence process, Enness was able to secure competitive lending terms while maintaining the confidentiality expected for transactions of this nature.
This case demonstrates the growing maturity of institutional crypto-backed lending and highlights the importance of specialist lender relationships when arranging large digital asset financing. For ultra-high-net-worth clients seeking to release liquidity without disposing of cryptocurrency investments, access to experienced lenders, secure custody solutions and carefully structured facilities can make the difference between a transaction completing efficiently and not proceeding at all.
Disclaimer
Information contained in our case studies is for illustrative and market commentary purposes only. Some examples may be based on multiple client scenarios or enquiries and do not necessarily represent completed transactions. Every application is subject to individual circumstances, lender criteria, valuation, digital asset verification and underwriting.
Crypto-backed lending carries significant risks. The value of digital assets is highly volatile and may fall rapidly. Borrowers may be required to provide additional collateral or part of their holdings may be liquidated if loan-to-value thresholds are exceeded.
Enness Global is a credit broker and does not provide investment advice or advice on cryptocurrency investments. Lending is subject to status and individual lender criteria.
Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.
Some case studies are made up of enquiries that have come into the business, not all business completes, and the posting of a case study does not represent a completed piece of business.
Property values can fall as well as rise, and you may not get back the amount originally invested. Property investments can be illiquid and may take time to sell. Where borrowing is used, your property may be repossessed if you do not keep up repayments on a mortgage or other loan secured against it.
