Ledger has launched Crypto Loan in Ledger Wallet, letting users pledge Wrapped Bitcoin (wBTC) or cbBTC as collateral for stablecoin borrowing without selling those holdings.
The feature connects the wallet to Morpho’s open credit network and supports loans in USDC and USDT. Users can add collateral, repay, increase the amount they borrow or withdraw collateral. Ledger Signer requires physical confirmation for borrowing actions, and each on-chain step from depositing collateral through borrowing receives hardware approval.
The pledged tokens remain in Morpho smart contracts during the loan. Ledger provides the technology for access. The product uses floating rates and carries liquidation risk; availability depends on the user’s country, and loan terms vary.
Morpho runs lending markets on Ethereum and major layer-2 networks through infrastructure that includes Morpho Blue and Morpho Midnight. The integration lets Ledger Wallet users access those markets and manage collateral and repayment from the wallet.