Arch

What Arch does

Arch Lending, operating under legal entity ChainFi, Inc. (NMLS #2637200), is a New York-based fintech founded in 2022 that issues overcollateralized loans denominated in USD or USDC against Bitcoin, Ethereum, and Solana collateral. The platform serves primarily U.S.-resident crypto holders who want liquidity without selling their positions and triggering capital gains tax events, alongside a smaller institutional and corporate-borrower segment. Underlying infrastructure includes a self-serve digital application (app.archlending.com) with KYC onboarding, qualified custody through Anchorage Digital Bank in segregated bankruptcy-remote wallets with $100M Lloyd's of London insurance, a no-rehypothecation collateral policy, and risk-engineering features such as a cure window and partial-liquidation logic (rather than full position liquidation). Loans are capped at 60% LTV, terms up to 12 months, and rates currently start at 7.25% APR with interest deferred until maturity.

Arch monetizes primarily through interest income on crypto-collateralized loans (a recurring, asset-based revenue stream) plus origination fees embedded in the APR. Its go-to-market is hybrid: a self-serve PLG motion for retail and high-net-worth borrowers, supplemented by white-glove inside sales for mid-market and institutional clients. Distribution is amplified through co-branded product initiatives — notably the Velocity sub-brand with Mark Moss and Blockware (Perpetual Income and TaxShield products) and channel partnerships such as Rhino Bitcoin — alongside institutional credit facilities structured through Galaxy Digital, including the tokenized Galaxy CLO 2025-1 (~$75M initial closing with potential to scale to $200M).

The product surface has expanded beyond the core crypto-backed loan to include a qualified crypto custody module with staking integration (Figment, Blockdaemon), the Velocity wealth-management program, Perpetual Income (auto-renewing BTC-collateralized loans with annual USD/USDC disbursements), and TaxShield (BTC-collateralized loan deployed into mining hardware for §168(k) depreciation benefits). The company is registered and state-licensed in the U.S. (including a Michigan Regulatory Loan License effective February 2025), but is currently excluded from 11+ U.S. states and operates only domestically. Total disclosed equity funding is approximately $7.75M across seed and strategic rounds, with Galaxy Ventures providing both equity and structured debt alongside an integrated platform partnership.

Name

Arch

Legal name

ChainFi, Inc.

Website

https://archlending.com

Company type

Private

Founded year

2022

Operating status

Operating

Headcount range

11–50 employees

Short description

Arch Lending (ChainFi, Inc.) is a New York-based fintech that issues overcollateralized USD and USDC loans against Bitcoin, Ethereum, and Solana collateral, serving U.S. crypto holders who want liquidity without selling.

Ownership category

akta.pro rank

Headquarters

HQ city

New York

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Technology or R&D, Personnel, Operations, Marketing or Sales, Infrastructure

Revenue model

1. Crypto-Backed Loan Interest: Arch generates revenue primarily through interest charged on Bitcoin, Ethereum, and Solana-backed loans. Rates start at 7.25% APR and vary by loan size, LTV, and collateral type. Interest accrues until maturity and is not billed periodically. The platform also charges origination fees factored into the APR.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels5 records

Core offering

Arch (dba Arch Lending, legal entity ChainFi, Inc.) is a U.S.-based crypto-backed lending platform that enables borrowers to obtain USD or USDC funding by pledging Bitcoin, Ethereum, or Solana as collateral. Loans are overcollateralized (LTV up to 60%), held by a qualified custodian (Anchorage Digital Bank) with no rehypothecation, and priced starting at 7.25% APR. Arch augments its core loan product with specialized sub-products—Perpetual Income (auto-renewing BTC loan with annual cash disbursements) and TaxShield (BTC-collateralized loan deployed into mining hardware for §168(k) depreciation)—plus an institutional crypto custody service.

Product overview

Arch (operating as Arch Lending, legal entity ChainFi, Inc.) is a next-generation Bitcoin-backed credit platform offering a portfolio of secured lending products. The core product is the Crypto-Backed Loan, which enables users to borrow USD or USDC against BTC, ETH, or SOL collateral held in institutional custody without selling assets. This core offering is augmented by two specialized sub-products—Perpetual Income (auto-renewing loans for tax-free annual cash flow) and TaxShield (loan-plus-mining-hardware structure for tax depreciation benefits)—both built on the same collateral infrastructure and delivered through the Velocity sub-brand in partnership with Mark Moss. The company also offers a qualified crypto custody service as a complementary module, and provides calculators and educational content. The platform is registered in the U.S., licensed in multiple states, and backed by institutional custody through Anchorage Digital with $100M insurance.

Differentiator

Problem solved

Functional benefit

Brands

• TaxShield: A product launched in collaboration with Mark Moss and Blockware to help Bitcoin holders reduce tax liabilities while maintaining Bitcoin exposure through pledging Bitcoin as collateral to secure a loan deployed into mining hardware for depreciation benefits.
• Velocity
• Perpetual Income

Products and services

• Crypto-Backed Loans Bitcoin-, Ethereum-, and Solana-backed loans that allow borrowers to receive USD or USDC without selling their crypto or triggering capital gains tax events. Features qualified custody via Anchorage Digital Bank, no rehypothecation, LTV up to 60%, terms up to 12 months, rates starting at 7.25% APR, deferred interest until maturity, and no prepayment penalties. For U.S. individual and business borrowers.
• Perpetual Income Auto-renewing Bitcoin-backed loan product designed to provide tax-free annual cash flow. Features annual USD/USDC disbursements, perpetual duration with no end date, and a minimum 1 BTC collateral requirement. Built for long-term Bitcoin holders.
• TaxShield Bitcoin-backed loan product that allows holders to pledge BTC as collateral, deploy capital into mining hardware, claim 100% first-year bonus depreciation under §168(k), and generate monthly BTC mining payouts to potentially reduce tax liabilities while maintaining Bitcoin exposure.
• Crypto Custody

Quantifiable outcome

• Interest rates start at 7.25% APR, compared to competitor rates as high as 12.75% APR
• +2 more outcomes

Named customers2 records

Segments4 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration2 records

Feature5 records

Partnerships

Five partnerships are on record, tiered minor, major and core.

• Rhino Bitcoin Inc.minorChannel Partner/ Reseller/ Distributor · 1 May 2026Rhino Bitcoin partnered with Arch Lending to offer Bitcoin-backed borrowing options to its users. Rhino Bitcoin's app users gain access to Arch's lending platform, while Arch gains distribution through Rhino Bitcoin's growing user base (36% app install growth driven by SatsDrop, zero-fee messaging, and Mexico remittances).
• BlockwaremajorStrategic or Co-development Partner · 21 October 2025Arch Lending collaborated with Mark Moss and Blockware to launch TaxShield, a product enabling Bitcoin holders to pledge BTC as collateral for a loan deployed into mining hardware, claiming §168(k) depreciation to potentially reduce tax liabilities while earning Bitcoin mining rewards.
• Luxor Technology CorporationcoreStrategic or Co-development Partner · 16 October 2025Arch Lending and Luxor Technology Corporation (a Bitcoin mining software and services company) partnered to create integrated financing and risk management solutions for Bitcoin miners. The collaboration provides miners with loans collateralized by Bitcoin and tools for hedging and revenue locking, supporting sustainable industry growth.
• Mark MossmajorStrategic or Co-development Partner · 1 October 2025Mark Moss, Bitcoin strategist and educator, partnered with Arch to co-design Velocity — a suite of financial products including Perpetual Income (auto-renewing BTC loan with annual cash disbursements) and TaxShield (mining hardware loan for tax optimization). Moss's audience of Bitcoin holders is leveraged as a marketing and distribution channel.
• Anchorage Digital BankcoreTechnology or IntegrationAnchorage Digital serves as Arch's qualified custodian for all collateral (BTC, ETH, SOL). It is a federally chartered digital asset bank providing segregated wallets, $100M Lloyd's of London insurance, and OCC-regulated infrastructure. This is a foundational operational partnership for Arch's security model.

Scale indicators5 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• Ledn: Ledn is a crypto-backed lending and savings platform offering Bitcoin and USDC-backed loans with similar overcollateralization and qualified custody features. It is Arch's most direct head-to-head competitor in the BTC-backed consumer and HNW lending category.
• Unchained Capital: Unchained Capital is a Bitcoin-native financial services company offering collateralized loans against BTC, with multisig self-custody and institutional-grade security. It competes directly with Arch in the BTC-backed borrowing market, especially for HNW and institutional clients.
• SALT Lending: SALT Lending offers crypto-backed loans against BTC, ETH, and other digital assets with similar collateral and borrowing mechanics. Arch explicitly compares itself against SALT on its website, indicating direct head-to-head positioning.
• Figure: Figure is a fintech lending platform offering HELOC, home equity, and crypto-backed loans via Figure Connect. It overlaps directly with Arch's BTC-backed loan product and is featured as a comparison target on Arch's site.
• Milo: Milo is a crypto-backed mortgage lender offering Bitcoin-collateralized home loans and refinancing products. It targets a similar BTC-rich HNW borrower profile and competes in the same crypto-as-collateral lending category as Arch.
• Lava: Lava is a crypto lending platform focused on providing loans against BTC, ETH, and stablecoin collateral. It is a direct competitor referenced in Arch's own comparison pages and serves a comparable retail and HNW borrower base.
• Strike: Strike is a Bitcoin-native payments and financial services company that has expanded into BTC-backed lending. It competes for crypto-native borrowers seeking liquidity without selling BTC, and is listed on Arch's comparison page.

Broad incumbents

• Nexo: Nexo is a large established crypto lending platform offering instant crypto-backed loans, an exchange, and yield products. It is a broad incumbent in the same crypto credit category with overlapping BTC-backed loan offerings at larger scale.
• Galaxy Digital: Galaxy Digital is a diversified crypto financial services firm and Arch's largest institutional capital partner (Galaxy Ventures equity investor, Galaxy CLO credit facility). It is both a key partner and a broad incumbent operating in institutional crypto credit, trading, and asset management adjacent to Arch's niche.

Emerging players

• Aave: Aave is a leading DeFi lending protocol that enables overcollateralized crypto borrowing on-chain. It competes with Arch for BTC-collateralized borrowing via wrapped BTC assets, but lacks qualified custody and regulatory licensing that Arch emphasizes.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks7 records

Key highlights7 records

Customer concentration

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Funding overview

Funding rounds3 records

Investors14 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Arch