Before signing any loan, run through this checklist. Every item is a potential risk — knowing the answer costs nothing and could save your collateral. For a broader framework, see our guide on choosing the right platform.
Safety
- Who holds my keys? (Custodial / Multi-sig / Non-custodial) — see our custody models guide
- Does the platform rehypothecate collateral? (Ask directly if not stated)
- Is reserve reporting, attestations, or on-chain verification published? By whom? How often?
- What is the regulatory status? (Registered, licensed, unregulated)
- How many years has the platform operated without failure?
Cost
- What is the effective APR including all fees? — our guide on what borrowers actually pay explains the hidden costs
- Is there an origination fee? What is it?
- Are there annual custody or vault fees?
- Is there an early repayment fee?
- What are the withdrawal or collateral release fees?
Terms
- What is the max LTV? (Lower = more safety buffer)
- What is the liquidation threshold and what happens at liquidation? — understand this before signing via our LTV guide
- What loan terms are available? (3, 6, 12, 24 months, open credit line?)
- What happens if I miss an interest payment?
- Can I add collateral or take additional draws?
Further Reading
Choosing the Right Platform
The full decision framework for evaluating BTC lending platforms beyond this checklist.
Custody Models Explained
Custodial, multi-sig, and non-custodial models — and why it is the single most important safety factor.
What Borrowers Actually Pay
How origination fees, vault fees, and hidden costs inflate the headline APR on BTC loans.
See our full methodology
We score every platform on all of these factors — consistently and transparently.
View methodology →