Galaxy Opens Retail Crypto-Backed Credit for Bitcoin, Ethereum, Solana
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Written by
Simonas Brazionis - Updated 2026-08-27 00:03:38
Galaxy has launched a new retail crypto-backed credit product, the GalaxyOne Crypto Portfolio Line of Credit (PLOC), for eligible clients in the United States. This new offering, which marks a significant move as Galaxy Opens Retail Crypto-Backed Credit, allows users to borrow cash against their Bitcoin, Ethereum, and Solana holdings, including staked SOL, without selling their digital assets. The product is available in 40 states and was launched on August 25.
The company stated that the pledged crypto assets are not rehypothecated. The managing director of GalaxyOne noted that the product leverages Galaxy's institutional infrastructure to provide competitive rates, security, and flexibility. This initiative represents a renewed effort in retail crypto-backed credit offerings following significant market events in 2022.
Product Details and Availability
The GalaxyOne Crypto Portfolio Line of Credit features a variable annual percentage rate of 8.99% and a 50% loan-to-value ratio, meaning a $100,000 portfolio can back approximately $50,000 in borrowing. Collateral values are continuously monitored, and users receive warnings before any collateral action. Funds are typically disbursed instantly and can be spent on-platform or withdrawn as USD or USDC stablecoins. Staked Solana continues to earn rewards without requiring unstaking. The line has no origination fee.
The Galaxy Opens Retail Crypto-Backed Credit offering is provided by GalaxyOne Lending LLC. California, Delaware, Idaho, Indiana, Minnesota, Mississippi, Missouri, Nevada, and South Dakota are excluded from the states where the product is available. For those interested in spending their crypto, exploring the best crypto cards can provide additional options beyond borrowing.
Addressing Market Concerns
Galaxy's pitch is that the line runs on its own regulated platform instead of an external DeFi protocol, and pledged collateral stays put rather than getting rehypothecated. This approach aims to address concerns that arose from the 2022 collapse of lenders like Celsius, BlockFi, and Voyager, which froze customer funds and forced liquidations. The company emphasizes that it is reopening the retail borrow-against-crypto door on regulated rails, filling a gap that the 2022 collapse made hard to fill.
