APX Lending Raises $20M in Funding Amid ‘Growing Demand’ for Cryptocurrency-Backed Loans in Canada

APX Lending Raises $20M in Funding Amid ‘Increasing Interest’ in Cryptocurrency-Backed Loans in Canada

Earlier this month, APX received tax reporting exemption from the Canadian Securities Administrators (CSA).

Jamie Crowley | Edited by Aoyon Ashraf April 11, 2025, 2:00 PM

16:9 Toronto (jplenio/Pixabay)

Key points:

  • Cryptocurrency-backed loan provider APX Lending has secured $20 million in funding from Cypress Hills, a private lending and investment firm.
  • The accordion credit line allows the borrower to increase the loan amount without having to revise all contractual terms.
  • Digital asset lending has a checkered history, with several lenders going bankrupt in 2022 at the start of the crypto winter, though that could change as the regulatory framework evolves in the US.

Cryptocurrency-backed loan provider APX Lending has secured $20 million in funding from Cypress Hills, a private lending and investment firm.

An accordion agreement is a provision that allows the borrower to increase the loan without having to renegotiate all the terms of the contract. In essence, it expands like an accordion.

Toronto-based digital asset lender APX intends to use the funding to accelerate its growth in Canada to meet growing interest in cryptocurrency-backed loans, according to a message sent to CoinDesk on Friday.

“This accordion facility from Cypress Hills represents a major step forward in our mission to make cryptocurrency loans transparent, secure, and accessible to Canadian citizens,” founder and CEO Andrey Polyakov said in a statement.

Earlier this month, APX received a tax exemption from the Canadian Securities Authority (CSA), exempting it from certain registration and prospectus requirements, which the company said would “address investor concerns in a retail context.”

According to the Ontario Securities Commission (OSC) website, the exemption was granted “based on the specific facts and circumstances of the application for the purpose of promoting the development of innovative businesses in Canada.”

Digital asset lending has a checkered history, with many lenders failing during the crypto winter of 2022. However, Mauricio Di Bartolomeo, co-founder of another crypto lender Ledn, argues that a more positive attitude from regulators towards cryptocurrencies in the US could help them become a vibrant and competitive market.

Di Bartolomeo predicted that Washington's friendlier approach to cryptocurrencies would help drive down rates, with effects that would be felt beyond the U.S.

“Gold in a vault in Switzerland is not the same as gold in a vault in Venezuela, but bitcoin in Colombia is bitcoin in Madrid, it’s bitcoin anywhere in the world,” he told CoinDesk in a recent interview.

Andrey Polyakov will speak at the CoinDesk Consensus 2025 conference in Toronto on May 14–15.

Источник

No votes yet.
Please wait...
Avatar photo
INFBusiness
Articles: 1914

Leave a Reply

Your email address will not be published. Required fields are marked *