Block Earner launches Australia’s first crypto-backed lending platform
Australia’s financial sector has welcomed its first platform allowing customers to borrow up to $5 million using cryptocurrency as collateral, according to a recent announcement. Block Earner launched the new lending service, which promises to disburse funds within 24 hours of approval. The platform does not require borrowers to sign lock-in contracts, offering flexibility to those managing digital assets.
How the lending model works
Customers can secure loans using Bitcoin or Ethereum, with a maximum loan-to-value ratio (LVR) of 50 percent. Should a borrower default, they have a 30-day window to repay the debt and restore the loan’s status. If the borrower takes no action during that period, the company may automatically sell a portion of the crypto held as security to cover the debt. This automated process aims to manage risk without forcing borrowers to immediately liquidate their entire holdings.
The service relies on institutional-grade custody technology provided by Fireblocks. This partnership connects Block Earner with a global network and multi-jurisdiction compliance infrastructure. The arrangement is intended to give Australian fintechs a pathway to expand into new markets without rebuilding security and custody systems from scratch for every region they enter.
Block Earner’s growth and partnerships manager Lauren Minicozzi noted that security is fundamental when holding customer assets as collateral. She stated that Fireblocks provided the confidence needed to launch the lending product, allowing the team to focus on building financial products rather than managing custody technology. This focus on core product development is a common challenge for startups in the digital asset space.
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Scaling digital assets in finance
The collaboration between the two companies reflects a broader trend among fintechs and digital asset businesses seeking secured infrastructure. Fireblocks head of Asia Pacific Amy Zhang emphasized that as digital assets become embedded in financial services, institutional-grade technology serves as the necessary foundation for innovation. Zhang said the partnership demonstrates that security is not merely a secondary feature but a critical component for scaling operations.
The launch builds on the fintech’s previous experience in bank-led digital money research initiatives, including Project Acacia. This history highlights the growing demand for regulated products in the sector. By leveraging established custody infrastructure, Block Earner aims to streamline the development of compliant financial offerings.
As Block Earner looks to take its lending model beyond Australia, Fireblocks’ global network and multi-jurisdiction compliance infrastructure gives the company a pathway to scale without having to rebuild custody and security from the ground up in each new market, a common barrier for Australian fintechs expanding overseas.
