Strike has unveiled one of its most powerful and innovative features to date: bitcoin-backed loans. For the first time, eligible users in select U.S. states can now borrow cash against their bitcoin holdings without having to sell their cryptocurrency. This option allows individuals to access liquidity without losing their long-term exposure to bitcoin’s price appreciation.
The loans range from $75,000 to $2,000,000, offering flexible terms of up to 12 months. Interest rates start at 12% APR, and Strike proudly offers these loans with no origination fees, making the service more attractive compared to many traditional lending options.
This launch reflects a growing trend among long-term bitcoin holders. According to blockchain data from April 2025, 63% of bitcoin supply hasn’t moved in over a year, signaling strong conviction among holders. On Strike, more than 90% of bitcoin purchased is withdrawn to cold storage, showing that users tend to view bitcoin as a long-term investment rather than a short-term trade. Many of these holders are unwilling to sell their bitcoin due to its strong performance history, and now, with Strike’s new loan offering, they won’t need to.
Strike is also introducing bitcoin-backed loans for businesses, with amounts ranging from $10,000 to $2,000,000. Business owners will benefit from the same competitive rates, flexible terms, and straightforward application process. This move opens up new opportunities for small and medium-sized enterprises to obtain working capital without needing to liquidate bitcoin held on their balance sheets.
In addition, Strike offers flexible repayment options—borrowers can repay monthly or make a lump-sum payment at maturity. Users can also adjust their loan-to-value (LTV) ratio by adding more collateral if needed, reducing the risk of liquidation during volatile market conditions.
The process is both simple and secure. Borrowers post bitcoin as collateral, receive cash in their accounts, and manage the loan entirely through the Strike app. Once the full loan amount, along with any accrued interest, is repaid, the bitcoin is safely returned to the user. There are no credit checks, no long approval processes, and no taxable events triggered by selling assets.
By offering this new loan service, Strike is attempting to help expand the financial utility of bitcoin. It brings modern financial tools—typically reserved for traditional assets like real estate or stocks—into the world of Bitcoin. The company has partnered with vetted third-party capital providers to ensure secure custody and smooth loan execution.
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