Arch Lending Expands Crypto-Backed Loan Options with PAX Gold and Tether Gold

Arch Lending has expanded its collateral options for crypto-backed loans to include PAX Gold (PAXG) and Tether Gold (XAUT). These two gold-based tokens are now accepted as loan collateral, allowing investors to access credit against their holdings without selling.

The minimum loan size is $250,000, with a starting loan-to-value ratio of up to 75%. Rates for monthly-payment loans begin at 9.25% APR between $250,000 and $750,000, comprising 8.50% interest and a 0.75% origination fee.

Arch Lending's platform is operated by ChainFi, Inc., and offers regulated, custodial structure for borrowing against these tokens. PAXG represents one fine troy ounce of gold from an LBMA-accredited London Good Delivery bar held in Brinks vaults, while XAUT represents one fine troy ounce from a London Good Delivery bar held in Swiss custody.

The addition of PAX Gold and Tether Gold as collateral options is expected to attract a new class of borrowers, including gold investors, wealth advisors, commodities traders, family offices, and corporate treasuries with existing precious-metals allocations.