Unchained to Pause Bitcoin Backed Loans to Individuals
"Due to external requirements, new loan originations to individual borrowers will be paused beginning January 1, 2024. We will continue originating new loans for legal entities such as LLCs or corporations after January 1 for business or investment purposes."
- "Despite having originated thousands of consumer loans and the positive feedback we’ve received about the service while to this day experiencing zero loan losses, we have a significant update regarding the availability of this product for consumers," Unchained announced via email, per @DemandUtopia.
- "This means that Unchained will not be able to refinance or “roll over” existing loans beginning January 1, 2024 unless a refinance application is submitted by an entity (not individual) borrower with a stated business or investment purpose," explained the company.
"If your loan has either an investment purpose or a business purpose, you may submit a loan application (for either a new loan or a refinance of an existing loan) to Unchained as those will remain eligible loan types, even after January 1."
The company also provided a following example:
"By way of example, a Wyoming limited liability company (including but not limited to a limited liability company not taxed separately from its sole owner) would remain eligible to apply for an Unchained loan for any investment purposes or business purposes, even after January 1."
- "While consumer lending services will not be available for a time, please know that we are actively working on updating and expanding our consumer loan products and services during this pause," adding that "a significant project remains ahead in that regard," said the company.
