How to compare crypto loan providers
Advertised rates are the least useful way to compare crypto lenders. Two loans at the same headline rate can differ by a factor of three in how much price movement they survive, and by everything in what happens if the lender fails.
Start with the liquidation corridor
The corridor is the distance between the LTV you draw at and the LTV at which collateral is sold. A provider offering 70% initial with liquidation at 80% gives you roughly a 12% price fall before forced sale; one offering 40% initial with liquidation at 80% gives you 50%.
This single comparison reorders most provider tables. Treat a high advertised maximum LTV as a warning that the corridor is narrow, not as generosity.
Then ask about rehypothecation
If the terms allow your collateral to be lent to third parties, you are exposed to borrowers you cannot see. That is the mechanism behind the best-known lender failures of the previous cycle, where collateral did not come back even though borrowers had performed.
A contractual prohibition on reuse, supported by segregated custody and published reserve reporting, is the strongest single differentiator available — and it costs nothing to ask for in writing.
Payout currency and destination
A loan paid in stablecoins to a wallet is a different product from a loan paid in euros to a named IBAN. If the money must reach a notary, a supplier or a tax authority, an on-chain payout adds a conversion, a transfer and a compliance conversation.
Check whether the receiving account is in your own name. Pooled references are routinely rejected by exactly the counterparties large loan proceeds are usually destined for.
Price feed, notice period, fees
Ask which price source values your collateral: an aggregated feed is far less prone to a spurious call than a single venue. Ask how long the margin-call window is, and how you will be notified — an email-only notice with a two-hour window is not a real window.
Then total the fees: origination, interest, any fee on early repayment, and the cost of a liquidation event. A slightly higher interest rate with no origination fee frequently beats the opposite on a loan held under a year.
Where The Vision Bank sits
Collateral is held in segregated custody and is not lent out. Loan-to-value bands are published rather than quoted case by case, principal is paid to your own multi-currency account with a named IBAN, and repayment in part or in full is available at any time.
None of that makes it the right lender for every borrower — a very short-dated, high-LTV position is deliberately not the product. It makes the comparison an honest one, which is the point of the list above.
What to compare
| What to compare | Weak answer | Strong answer |
|---|---|---|
| Liquidation corridor | Initial 70%, liquidation 80% | Initial 40%, liquidation 80% |
| Collateral reuse | Silent or permitted in terms | Contractually prohibited, segregated |
| Payout | Stablecoins to a wallet only | Euros to a named IBAN, or stablecoins |
| Price feed | Single exchange | Aggregated multi-venue feed |
| Margin call | Email only, hours to act | Multi-channel notice, defined window |
| Fees | Origination plus early-repayment penalty | Published schedule, free early repayment |
Frequently asked questions
What is the most important thing to compare on a crypto loan?
The gap between the loan-to-value you draw at and the level at which collateral is liquidated. It determines how far the price can fall before you lose control of the position, and it varies far more between providers than interest rates do.
Which crypto loan has the lowest rate?
Headline rates cluster closely, and the cheapest loan is usually decided by origination fees, early-repayment terms and whether a liquidation occurs. Model the total cost over the period you actually intend to borrow for, including one adverse price scenario.
Should I use a platform that lends out my collateral?
Only with a clear view of the risk. Rehypothecation means your collateral is exposed to borrowers you cannot assess, and it is the mechanism behind several past failures where collateral was not returned. Prohibited reuse with segregated custody is materially safer.
Can I get a crypto loan paid out in euros?
Some providers pay only in stablecoins. At The Vision Bank principal is credited to your own multi-currency account with a named IBAN, so it can be sent by SEPA or SWIFT, spent on a card, or held as an ordinary euro balance.
How do I avoid liquidation?
Start at a low loan-to-value, keep spare collateral or stablecoins available to top up, set your own alert well below the provider's margin-call level, and confirm the notification channel actually reaches you.
More guides
How to compare crypto cards
What separates crypto cards in practice: conversion spread, FX margin, ATM fees, virtual issuing, per-card controls and the quality of the statements you get.
How crypto-backed loans work
A crypto-backed loan lets you borrow cash against Bitcoin or stablecoins without selling. How collateral, LTV, interest and liquidation actually work.
Loan-to-value explained
LTV is the ratio between what you borrow and what you pledge. How to calculate it, what margin-call and liquidation levels mean, and how to pick a safe starting ratio.
Put this into practice
Open a The Vision Bank account to use custody, lending, cards and payments from one balance.