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The Established Company of the Crypto Market Ethereum (ETH) Has Terminated Support! "Only Bitcoin!"
The crypto lending institution Ledn announced a bold move to focus solely on Bitcoin (BTC) secured loans and to terminate support for Ethereum (ETH) secured loans.
According to The Block, Ledn has announced that it has transitioned to a fully collateralized Bitcoin lending system to strengthen its BTC-focused business and provide greater protection for customer assets against credit risks, while discontinuing its support for Ethereum.
Accordingly, the company announced that it will cease support for Ethereum-backed loans and BTC/ETH savings products starting from July 1. The company also added that it will no longer lend customer assets to earn interest.
Co-founder and CEO of Ledn, Adam Reeds, stated that this step brings the company back to its roots and aligns it more closely with the founding principles of Bitcoin.
"With our new extreme focus on bitcoin lending, we are initially returning to our roots and principles that inspired Bitcoin,
Bitcoin was created as a direct response to the risks of fractional reserve banking and the uncontrolled use of customer assets to generate interest. Traditional finance relies on the constant reuse of customer assets to create leverage and ultimately inflation. Bitcoin users instinctively reject this model. That’s why we have completely moved away from this approach. With our custodial credit structure, customer assets remain where they belong and are held transparently.