Startup Ledn has raised $70 million in a Series B funding round as the company prepares to launch what it's billing as the world's first mortgages backed by Bitcoin.
The Toronto company's valuation is now up to about $450 million on the heels of its latest funding. The round was led by 10T Holdings. 10T's managing partner and chief executive officer Dan Tapiero is set to join the company's board.
Newcomers to Ledn, Golden Tree Asset Management, Raptor Group and FJ Labs, also joined the fundraising round.
Ledn's existing backers also got in on the new round. Among them: White Star Capital, Kingsway Capital, Coinbase Ventures, Alan Howard, Parafi Capital, Susquehanna Private Equity Investments, Global Founders Capital, Hashed, CMT Digital, Ascendant Capital and John Pfeffer.
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Ledn is using the capital to get its Bitcoin-backed mortgage product off the ground, which is set to launch in the U.S. and Canada early next year. The company, which has a waitlist for the product, is targeting originating some $100 million of such mortgages by the end of the first quarter of 2022.
The loans accept a mix of Bitcoin and property collateral to qualify for a mortgage. The idea is that the property holdings will help mitigate the volatility of Bitcoin.
Though the Bitcoin-backed loans initially are exclusive to the U.S. and Canada, Ledn is now active in 127 countries — with a notable 44% of the company's loans being originated in Latin America. Assets on the platform overall have exceeded $1.7 billion.