Galaxy Launches Retail Crypto-Backed Credit Lines

Galaxy opened retail crypto-backed credit lines on Tuesday. Eligible clients on its GalaxyOne platform can now borrow cash against Bitcoin, Ethereum, and Solana—staked SOL included—without selling a single coin.

The product, the Crypto Portfolio Line of Credit (PLOC), invites users to pledge BTC, ETH, and SOL inside one revolving line instead of taking a separate loan per asset. Galaxy sets a variable annual percentage rate of 8.99% and a 50% origination loan-to-value ratio: a $100,000 book backs about $50,000 in borrowing.

Collateral values are watched continuously. If your assets slip, GalaxyOne says it warns you before any collateral action. Draws usually fund instantly, and you can spend the cash on-platform or pull it as USD or USDC stablecoins.

The pledged crypto isn't rehypothecated — Galaxy doesn't lend it out or reuse it while it backs your line. Staked SOL keeps earning rewards without unstaking.

"We're excited to bring a competitive crypto-backed borrowing product to market via our growing retail platform," said Zac Prince, Managing Director of GalaxyOne. "By leveraging Galaxy's institutional infrastructure, we are able to offer competitive rates, security and flexibility with our new crypto portfolio line of credit product."

A retail push four years after the last blowup

The 2022 collapse of Celsius, BlockFi, and Voyager still frames the category. Those lenders froze customer funds and forced liquidations when prices fell, and the contagion spread far and wide throughout the crypto market.

Galaxy's pitch is the opposite structure. The line runs on its own regulated platform instead of an external DeFi protocol, and pledged collateral stays put rather than getting rehypothecated.

Sentiment has shifted since then, too. Just this week, crypto markets flipped to "extreme greed" for the first time since 2024. Appetite across the sector is growing as of late, with Bitcoin and Ethereum ETFs adding $23 billion in a week.

The timing might then be right to give “crypto lending” another go—and with added guardrails to boot. Galaxy is reopening the retail borrow-against-crypto door on regulated rails, a gap the 2022 collapse made hard to fill.

GalaxyOne Lending LLC offers the line in 40 states. California, Delaware, Idaho, Indiana, Minnesota, Mississippi, Missouri, Nevada and South Dakota are excluded.