Bitcoin holders in India are increasingly comfortable borrowing against their cryptocurrency as market confidence grows, as per Seamus Rocca, CEO of Xapo Bank, a Gibraltar-based private bank. Rocca mentioned at the Token2049 event in Dubai that with Bitcoin (BTC) hovering around $95,000 and institutional adoption gaining traction, investors’ sentiment has shifted towards a more long-term perspective from short-term speculation. Xapo Bank recently introduced a lending product allowing users to borrow US dollars using Bitcoin as collateral, enabling qualified customers to access up to $1 million in loans while retaining their BTC. Rocca emphasized that growing confidence in crypto’s long-term trajectory has fueled demand for Bitcoin-backed loans, driven by developments leading to broader institutional adoption. The CEO highlighted that Xapo Bank’s Bitcoin-backed loans offer loan-to-value (LTV) ratios of 20%, 30%, and 40%, providing borrowers with flexibility in managing risk. With conservative LTV levels like 20%, Bitcoin would need to drop below $40,000 for borrowers to face liquidation. Rocca believes the current price stability contributes to increased borrower confidence. Bitcoin-backed loans offer a solution for investors who wish to remain exposed to BTC during unexpected expenses, allowing them to borrow against their holdings to cover costs without selling their cryptocurrency. As institutional adoption deepens and the Bitcoin market matures, Xapo Bank anticipates more long-term holders will leverage crypto liquidity without selling their BTC, shifting from a “hodl” culture to a phase where Bitcoin owners can utilize their assets more effectively.