Galaxy Digital Introduces Crypto Portfolio Line of Credit with 50% LTV Ratio

Galaxy Digital has launched a Crypto Portfolio Line of Credit on its retail platform GalaxyOne. The product allows users to borrow USD or USDC against their Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) holdings, including staked SOL. The initial loan-to-value (LTV) ratio is 50%, meaning that up to $50,000 can be borrowed against $100,000 in crypto assets.

The product uses portfolio-based collateral rather than single-asset collateral, which diversifies volatility risk within the portfolio. This means that if one asset declines in value, others may still support the overall collateral ratio. SOL is included as eligible collateral, and staked SOL can also be used, indicating Galaxy's commitment to Solana's status as an institutional-grade asset.

The 8.99% annual interest rate is not cheap, but it offers a fixed and predictable rate, combined with the safety commitment of no rehypothecation. Borrowed funds can be used for everyday expenses, tax payments, or investment opportunities. Galaxy has made an explicit commitment that client collateral will not be rehypothecated.

The product is aimed at high-net-worth individuals, family offices, and founders who need short-term liquidity without triggering taxable events. According to Zac Prince, GalaxyOne Managing Director, this product leverages Galaxy's institutional-grade infrastructure to serve retail clients.