Commercial Terms

  • Arrangement fee and interest payments are included as part of the loan facility or paid from personal holdings.

For lending against collateralised Bitcoin (BTC) or Ethereum (ETH)
Term 6 Months 12 Months 18 Months 2 Years 3 Years 4 Years
LVR 70% 70% 70% 70% 70% 70%
Interest Rate 9.95% 8.25% p.a. 7.50% p.a. 6.95% p.a. 6.50% p.a. 5.85% p.a.
For lending against collateralised Tether (USDT)
Term 6 Months 12 Months 18 Months 2 Years 3 Years 4 Years
LVR 95% 95% 95% 95% 95% 95%
Interest Rate 9.95% 8.75% p.a. 7.95% p.a. 7.25% p.a. 6.75% p.a. 6.00% p.a.

Funding Metrics Package

  • Standard documentation is ready for execution and loan proceeds in you account within 5 days.

  • Non-recourse beyond the collateral used for facility. Borrower has the right to terminate at any time with no obligation to repay the loan principal;

  • Arrangement fee – 2.5% of facility amount.

  • Borrowers are not required to provide their financial statements or a personal guarantee to the lender.

  • Digital coins held by digital asset custodian (Zerocap).

  • Interest is payable upfront for the full term of the loan. This payment is deducted at settlement on commencement of the facility.

  • If digital coin collateral value falls below 75% of the initial collateral value, the borrower is required to add collateral. Alternatively, we may dispose of coins at 70%, and terminate the loan.

    Hedged Loans

  • Your coins are secured for return by us the Lender, utilising our bespoke independent third-party OTC hedging program. No other Lenders currently offer this layer of protection and security.

  • Upside participation - Under our standard offer, the borrower is entitled to a maximum of 50% appreciation in the value of their collateral as at the initial loan date. At each anniversary of the loan facility, the borrower may exercise the annual reset feature and re-hedge or terminate the facility. This is limited to Bitcoin and Ethereum only.

  • Tailored upside participation - The borrower may select an upside participation rate above 50% (up to and including unlimited appreciation of collateral value). Pricing is available on request should this feature be desired.

Convert loan proceeds to Real Estate - Investor Metrics Package

  • Development pipeline – up to A$1.4 Billion.

  • 3-year term of investment.

  • Early redemption available at 18 months.

  • Annual coupon (interest payment) - 8.33% per annum.

  • Bonus coupon (project completion).

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Transaction Process

Contact us

The first step in the transaction process is for the borrower to engage with the deal origination team regarding the proposed coin holdings and funding requirements.

Valuation process

The collateral must meet the portfolio management team’s investment criteria. If approved, we will provide indicative finance terms including Loan-Valuation-Ratio (LVR), interest rate, and loan term.

Due diligence

The Pegasus Capital team will complete the due diligence requirements and AML/CTF process to ensure legal and regulatory compliance. This requires the borrower to provide standard documentation and complete an application form.

Agreement

Pegasus Digital Asset Lending and the borrower will enter into a financing agreement to govern the loan transaction.

Funding & transfer

Pegasus Capital funding is executed in an efficient and timely manner. We provide full funding drawdown of 70% , on the date of coin transfer to the Custodian + 3 days .

Financing period

Interest is payable upfront for the full term of the loan. This payment is deducted at settlement on commencement of the facility.

Coin collateral return

At loan maturity, the borrower repays the principal amount of the loan. The digital coin collateral is returned in full.

 
 
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