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Why BTC-Backed Loans?
Bitcoin is increasingly recognized as a compelling store of value. Now, by partnering with Arch, Onramp clients can tap into the value of their bitcoin holdings without needing to liquidate positions or experience taxable events.
By using your BTC as collateral, you can access liquidity—whether for large purchases, business operations, or other spending needs—while avoiding taxable events and preserving potential upside in bitcoin’s market value.
Key Benefits & Features
White-Glove Service & Support
Arch takes pride in delivering dedicated customer service. From the initial inquiry to ongoing support, their team is accessible and ready to assist.
Transparent & Secure Collateral Management
Segregated Addresses: Your collateral is held in a separate on-chain wallet address—never pooled or rehypothecated.
Verified Destination Addresses: Onramp independently confirms wallet addresses to ensure a high level of security at every step. Addresses are also shared with clients so they can verify themselves.
Security & Compliance: Collateral is stored with a leading qualified custodian, Anchorage, in a bankruptcy remote US-based trust. Arch is a fully compliant US-based entity, able to lend in most US states and international jurisdictions.
Flexible Loan Terms & Low Friction
Borrow up to 50% Loan-to-Value (LTV), with margin calls at 70% with rights to partial liquidation if LTV hits 80%.
Fixed terms up to two years, with an option to roll over (without repaying principal).
No early repayment penalties—pay it off whenever it suits you.
Line of Credit Approach
Think of this like a revolving credit line. If bitcoin’s value goes up, you may request partial releases of your collateral. If you need more funds, you can quickly upsize your loan (without adding more collateral) —subject to the same transparency and security checks.
Built for the Future of Bitcoin Custody
Although this initial version of the product does not fully integrate Onramp’s multi-institution custody architecture, both Onramp and Arch are aligned in our vision of bitcoin custody evolving to a multi-institution standard.
Our partnership is designed to adapt and grow alongside these developments, so you can expect enhanced protections and custody features down the road.
How It Works
Sign Up. If you’re an existing Onramp client, contact your representative to get started. Otherwise, reach out via the onramp website for more information.
Collateral Deposit. Your bitcoin will be transferred to a segregated address that Onramp and Arch have independently verified.
Loan Approval & Funding. Once approved, loan proceeds can be wired to your bank account or delivered as stablecoins.
Ongoing Management. Monitor your LTV ratio in real time. If bitcoin’s price rises, you can reduce your loan balance or request a partial release of collateral.