Enness Global assisted a high-net-worth Spanish national and Dubai resident in securing a circa £3M crypto-backed loan to support the purchase of a luxury property in Spain.
The client held a substantial Bitcoin portfolio and wanted to access liquidity without selling their cryptocurrency holdings. A non-recourse structure was preferred, allowing the client to retain exposure to the underlying digital assets while using their value to support the property acquisition.
The transaction was highly time-sensitive, with the client facing a two-week deadline to complete the purchase. Traditional lending routes were unlikely to accommodate the required timeframe, particularly given the additional underwriting, custody and source-of-wealth considerations associated with crypto-backed lending.
Enness Global worked with a specialist lending partner to structure a bespoke facility secured against the client's Bitcoin holdings. The circa £3M facility was arranged at approximately 70% loan-to-value on a two-year fixed-term basis, subject to lender criteria and prevailing market conditions.
The underlying cryptocurrency was held with an institutional-grade custody provider, with the structure designed to keep the assets segregated throughout the facility term. This provided an established security framework for the lender while allowing the client to maintain exposure to the cryptocurrency rather than liquidating the holdings to fund the purchase.
Enness Global coordinated the lender, custody arrangements and transaction requirements to meet the compressed completion timeframe. The facility was completed in approximately one and a half weeks, enabling the client to access the required capital within the agreed deadline and proceed with the Spanish property acquisition.
The solution demonstrated how specialist crypto-backed lending can provide an alternative source of liquidity for high-net-worth clients whose wealth is concentrated in digital assets. By using cryptocurrency as collateral rather than selling it, borrowers may be able to access capital while retaining exposure to the underlying asset, subject to lender criteria, market conditions and the specific structure of the facility.
This case also highlights the importance of execution when financing property acquisitions with tight completion deadlines. Specialist lender relationships, appropriate custody arrangements and an understanding of the client's wider financial position were important considerations when structuring the transaction within the required timeframe.
Crypto Finance Disclaimer: Enness does not provide advice or recommendations on cryptocurrency, other digital assets, Securities-Backed Lending or investments. Lender introductions are unregulated. Cryptocurrency values can be highly volatile and may fluctuate significantly. Crypto-backed borrowing may involve margin calls, additional collateral requirements or repayment if the value of the underlying assets falls. Lending terms, custody arrangements and availability are subject to lender criteria and individual circumstances.
Important: Crypto-backed lending carries risks, including the potential loss or forced sale of secured cryptoassets if repayment obligations are not met. The value of cryptoassets can fluctuate significantly, and changes in value may affect the amount of collateral required or the terms of the facility. The terms referenced in this case study relate to a specific transaction and are not indicative of current or future pricing.
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.
