This content is for informational purposes only and does not constitute financial advice.
A crypto-backed loan lets you use your Bitcoin, Ethereum, or Solana as collateral to access cash, while keeping your crypto position intact. You keep the upside potential of your holdings. You don't trigger a taxable sale. And you get funds quickly — often the same day.
Figure offers two types of crypto-backed loans from a single entry point, each suited to different borrowing needs: a Term Loan with a fixed rate and a set term, and a Flex Rate Loan with a variable market rate and no term limit. Both share the same trusted infrastructure, MPC custody model, and no-rehypothecation guarantee.
Why borrow instead of sell?
When you sell crypto to access cash, you may trigger a taxable event3 on any gains, and you give up your exposure to future price appreciation. A crypto-backed loan lets you access liquidity today while staying in your position.
Common uses include:
Two Ways to Borrow
When you navigate to Crypto-Backed Loan in Figure Markets, you'll see two paths. Here's how they compare at a glance:
| Feature | Term Loan | Flex Rate Loan |
| Rate type | Fixed | Variable (market rate) |
| Term | 12 months | No term limit |
| Collateral | Isolated BTC, ETH, or SOL | Full Figure Markets account balance |
| Best for | Predictable, longer-term borrowing | Short-term liquidity and dynamic borrowing |
| Off-platform use | Optional | Yes |
Term Loan
The Term Loan is designed for borrowers who want stability: a fixed interest rate locked in at origination, a defined 12-month term, and predictable monthly payments.
You designate Bitcoin, Ethereum, or Solana as isolated collateral, and borrow against it at a fixed rate tied to your loan-to-value (LTV) ratio. Your collateral is held in a dedicated MPC custody wallet — visible on-chain, segregated from other accounts, and never rehypothecated.
Current rates (as of May 2026 — subject to change):
An origination fee of up to 1.5%2 applies at closing, depending on jurisdiction.
Flex Rate Loan
The Flex Rate Loan is built for borrowers who want maximum flexibility — short-term access to liquidity, the ability to borrow and repay dynamically, and a rate that reflects live market conditions rather than a fixed commitment.
Instead of locking in a fixed rate against isolated collateral, Flex Rate uses your entire Figure Markets account balance as collateral. This means your stablecoins, crypto holdings, and other assets in your Figure Markets account all count toward your borrowing power — not just a single designated asset.
Interest rates are variable and adjusted hourly based on live market demand within Figure's lending pools. You don't set a rate as a borrower — the market does. This means your rate can fluctuate over time, but it's always transparent and visible in your account.
There is no term limit. You pay interest only for the time you're actually borrowing. Loan balances are automatically reduced when you make deposits or sell assets in your account, making repayment frictionless.
Getting Started
From the Figure Markets app or web platform:
- Navigate to Crypto-Backed Loan — found in the Borrow section of the mobile app, or in the left-hand navigation on web.
- Choose your loan type: Term Loan or Flex Rate Loan.
- Click Apply for Term Loan
- Enter the amount of collateral you want to post and how much you'd like to borrow
- Link a bank account (US-based borrowers) to receive your disbursement — or provide an Ethereum address for USDC disbursement (international borrowers)
- Review and sign your loan documents
- Post collateral and receive your disbursement
- Click Apply for Flex Rate Loan
- Review and sign the margin loan agreement
- Specify how much you'd like to borrow
- Your full account balance is used as collateral — no isolation step required
- Link a bank account or provide a disbursement address and receive funds
FAQs
Will taking out a crypto-backed loan trigger a taxable event?
Obtaining a crypto-backed loan generally does not trigger an upfront taxable event. However, tax treatment may vary based on your individual circumstances, and a liquidation triggered by a margin call may have tax implications. Please consult your tax advisor.
Is my collateral safe?
Yes. Collateral is held in MPC custody wallets and is never rehypothecated. For Term Loans, you can verify your collateral on-chain at any time. Figure Lending has never lost coin assets or paused crypto withdrawals.
Can I repay early?
Yes. There are no prepayment penalties on either loan type.
For Term Loans, you can repay at any time and your excess collateral will be returned.
For Flex Rate Loans, repayment happens automatically as deposits and asset sales reduce your balance.
What happens if the value of my collateral drops?
If your LTV rises above the threshold, you'll receive a margin call and will need to add collateral or make a partial repayment.
What's the difference between a Term Loan and a Flex Rate Loan?
A Term Loan gives you a fixed rate and a defined 12-month structure — good for larger, longer-term borrowing where predictability matters. A Flex Rate Loan offers a variable market rate with no term limit and uses your full account balance as collateral — better for short-term, flexible borrowing or when you want your repayments to happen automatically as your account activity dictates.
©2026 Figure Lending LLC
Figure Lending LLC dba Figure 5200 77 Center Drive, Suite 400, Charlotte, NC 28217 819-6388. NMLS ID 1717824. For licensing information go to www.nmlsconsumeraccess.org
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Equal Opportunity Lender For general customer support, call (888) 819-6388 Monday - Friday, 6am - 9pm PT, Saturday - Sunday, 6am - 5pm PT (excluding holidays).
Equal Housing Opportunity
This site is not authorized by the New York State Department of Financial Services. No mortgage solicitation activity or loan applications for properties located in the State of New York can be facilitated through this site.
Digital currency is not legal tender, is not backed by the government, and BIA accounts are not subject to FDIC or SIPC protections.
Availability:Crypto loans are offered to U.S. borrowers by Figure Lending LLC. This product is not available to U.S. residents of DC, ID, IL, KY, MD, MS, SD, TX, VT, or VA.Crypto loans are offered through Figure Markets Credit LLC to residents of the state of New York and to international customers except in the following jurisdictions: Crimea (Ukraine), Donetsk (Ukraine), Luhansk (Ukraine), Afghanistan, Albania, Belarus, Central African Republic, Congo (the Democratic Republic), Cuba, Ethiopia, Haiti, Iran (Islamic Republic of), Iraq, Lebanon, Libya, Mali, Myanmar (Burma), Nicaragua, Nigeria, North Korea (Democratic People's Republic of), Pakistan, Palestine (State of), Russia, Somalia, South Sudan, Sudan, Syria, Ukraine, Venezuela, Yemen, or Zimbabwe.
Lender & Licensing:Figure Markets Credit LLC. 5200 77 Center Drive, Suite 400, Charlotte, NC 28217888) 926-6259. NMLS ID 2559612. For licensing information, go to www.nmlsconsumeraccess.org
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Investing in cryptocurrencies involves significant risks. Cryptocurrency trading is not available in NY. Please click here for risk disclosures on investing and trading in cryptocurrencies.
Figure Payments Corporation offers self-directed investors and traders cryptocurrency services. It is neither licensed with the SEC or the CFTC nor is it a Member of NFA. Figure Payments Corporation's NMLS ID number is 2033432, and is located at 100 West Liberty Street, Suite 600, Reno, NV., 89501. You can verify Figure Payments licensing status at the NMLS Consumer Access website. Click here for Figure Crypto's state license and regulatory disclosures.
Crypto Loans starts at a minimum of $5,000, subject to state and jurisdiction-specific legal limitations. Your loan amount will ultimately depend on the amount of collateral in your account and your eligibility will be determined by your state or jurisdiction of residence, credit profile, and other personal information available at the time of your application.
1General minimum and maximum loan amounts may vary subject to state-specific legal limitations.
2Repayment Period (Minimum-Maximum): 12 monthsMaximum APR: 12.62% APR (APR includes interest plus applicable fees such as the 1% origination fee). Available interest rates for Figure's Crypto-Backed Loan are 8.91% (9.999% APR) at 50% LTV or 11.50% (12.62% APR) up to 75%.Representative Example (Total Cost): As an example, a borrower receives a Crypto Backed Loan at 50% LTV of $10,000 for a term of 12 months, with an interest rate of 8.91% and a 1% origination fee of $100, for an APR of 9.999%. In this example, the borrower will receive $10,000 and will make 12 monthly payments of $74.25. Rates will be higher for applications secured by assets with a higher LTV ratio. The Figure Crypto-Backed Loan has a 12 month interest-only repayment term and allows for a maximum initial LTV ratio of 75%. Interest rates change frequently so your exact interest rate will depend on the date you apply and may depend on many factors such as LTV ratio.
3Obtaining a crypto-backed loan generally does not trigger an upfront taxable event. Tax treatment may vary based on individual circumstances. Consult your tax advisor.
4Liquidation protection is only available in CA, NY, FL, PA, AL, AK, GA, HI, MA, UT. Liquidations will still occur if the loan becomes delinquent. More information about liquidation protection can be found here. The Figure Crypto Backed Loan (CBL) allows eligible users to borrow U.S. dollars secured by crypto collateral. The maximum loan-to-value (“LTV”) ratio is 50% at origination.