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LTV - Crypto Reviews

LTV

LTV, or Loan-to-value, denotes the ratio between the loan amount and the value of an asset used as collateral. For instance, if you secure a $1,000 loan using $2,000 worth of Bitcoin, the LTV is 50%. This means the loan equates to 50% of the Bitcoin collateral’s value.

LTV, or Loan-to-value, denotes the ratio between the loan amount and the value of an asset used as collateral. For instance, if you secure a $1,000 loan using $2,000 worth of Bitcoin, the LTV is 50%. This means the loan equates to 50% of the Bitcoin collateral’s value.