Institutional-Grade Crypto Lending
SDM Lending offers collateralized borrowing and secure lending facilities against the top 50 digital assets.
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Loan Terms & Structure
We provide flexible, institutional-grade lending facilities designed for qualified investors. Below is a summary of our core loan terms:
Loan-to-Value (LTV)
Up to 65%
Borrow up to $650K for every $1M in collateral.
Interest Rate
8% annually
Paid quarterly in arrears at the end of each quarter.
Arrangement Fee
2%
One-time fee, deducted from loan proceeds at closing.
Term Length
18–48 months
Minimum 18-month loan term, up to 4 years.
Minimum Loan Size
$500,000 USD
Institutional-grade facilities starting at half a million.
Prepayment
Not permitted
No early repayment option during the term.
Collateral Management
No upside rebalancing
If collateral appreciates, there are no automatic margin calls.
Loan Maturity
Within 7 days of maturity
Collateral is returned at the end of the loan term if all interest payments are up to date and the loan balance is repaid within 7 days of maturity.
Collateral & Loan Pricing Process
01
Loan Pricing
Collateral value is determined using a three-day pricing model. The Fair Market Price (FMP) is based on the average last-sale price over three consecutive business days. This average establishes the loan’s principal amount, with the first day designated as the Verification Day.
02
Collateral Transfer
Once pricing is complete, the borrower receives a dedicated SDM Lending wallet address. Collateral transfer begins with a small test transaction before the full balance is sent to ensure settlement accuracy.
03
Settlement of Loan Proceeds
On the closing day, the borrower receives loan proceeds net of the 2% arrangement fee, completing the settlement process.
Margin Call & Risk Management
Default Clause: Triggered when the value of the collateral has fallen below 70% of the Fair Market Price established at closing for 3 consecutive business days. If triggered, a notice to top up Margin will be issued via email to the client. The client will have 5 business days to cure the notice.
The client can choose one of the following three options:
Option 1
The client/borrower can give back some of the loan proceeds in the form of Stablecoins (USDC/USDT) or Fiat (USD/CAD, EUR, GBP).
Option 2
The client/borrower can transfer additional collateral in the form of the same digital asset used for the loan’s collateral
Option 3
The client/borrower may elect to walk away from the loan entirely assuming all outstanding interest payments have been made. In this scenario, the client will retain the loan proceeds and forfeit their ownership/right to the collateral for the loan.
SDM Lending provides a structured, transparent, and institutionally backed lending framework for qualified investors to borrow against their digital assets
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sales@sdm.co
Disclaimer
This material is for informational use only and does not constitute financial or investment advice. Other than disclosures relating to SDM Lending, this information is based on current public data that we consider reliable, but we do not guarantee its accuracy or completeness. It should not be relied upon as such. The terms, conditions, and policies outlined herein are subject to change without notice. Any projections or estimates provided are for illustrative purposes only and should not be interpreted as advice or a recommendation. The value of digital assets used as collateral may fluctuate significantly due to market volatility, regulatory changes, or liquidity constraints, potentially leading to margin calls or liquidation. Past performance is not indicative of future results, and there is no guarantee of future returns. The use of leverage in lending arrangements increases risk, and borrowers may be required to provide additional collateral or face liquidation of assets. The information provided is derived from sources believed to be reliable, including company financial statements, regulatory filings, white papers, and other publicly available materials. While SDM Lending obtains data it believes to be accurate, it does not conduct independent audits or verification of such information. Unless otherwise agreed in writing, SDM Lending does not guarantee that this information complies with all disclosure standards applicable in the recipient’s jurisdiction. SDM Lending and its officers, directors, and employees shall not be liable for any losses, lending decisions, or damages resulting from reliance on this information. Crypto-backed lending involves substantial risk and may not be suitable for all borrowers. Many digital asset platforms operate without regulatory oversight, and certain lending structures may expose borrowers to counterparty risks, inadequate custody protections, or cybersecurity threats. Digital assets remain speculative and may be subject to extreme price volatility.