Crypto lending is transforming the way we interact with digital assets, offering new ways to borrow and invest. Bitcoin-backed loans allow holders to use their digital assets without selling them, providing a unique way to access liquidity. This is made possible by the rise of decentralized finance (DeFi) platforms, which use smart contracts to automate the lending process. Borrowers can secure loans in stablecoins or fiat currencies by providing collateral, usually in the form of other cryptocurrencies. This allows them to unlock liquidity while retaining ownership of their assets. However, the inherent volatility of the market and Bitcoin's price swings can pose risks for Bitcoin-backed loans.