APX Lending Secures $20M Funding Amid ‘Rising Demand’ for Crypto-Backed Loans in Canada

Crypto-backed mortgage supplier APX Lending has secured a $20 million accordion facility from Cypress Hills, a non-public credit score funding agency.

An accordion facility is a provision that enables a borrower to extend their borrowing with out renegotiating all the settlement. In impact, it expands like an accordion.

Toronto-based APX, which gives lending with digital property as collateral, plans to make use of the power to speed up its growth in Canada to satisfy rising calls for for crypto-backed loans, in keeping with an emailed announcement shared with CoinDesk on Friday.

“This accordion facility from Cypress Hills marks a serious step ahead in our mission to make crypto-backed loans clear, safe, and accessible to Canadians,” founder and CEO Andrei Poliakov said in the announcement.

APX received exemptive relief from the Canadian Securities Administrators (CSA) at the start of this month, exempting it from certain registration and prospectus requirements, which the firm said “would tackle investor issues in [a] retail context.”

The exemption was granted “based mostly on the actual information and circumstances of the applying with the target of fostering progressive companies in Canada,” according to a note on the Ontario Securities Commission (OSC) website.

Digital asset lending has a somewhat chequered history, with various lenders collapsing amid the onset of the crypto winter in 2022. However, the now more favorable regulatory attitude to crypto in the U.S. could help transform it into a vibrant and competitive market, according to another crypto lender Ledn’s co-founder Mauricio Di Bartolomeo.

Di Bartolomeo predicted that Washington’s friendlier approach to crypto would help rates fall, the effect of which would be evident beyond the U.S.

“Gold in a vault in Switzerland is not gold in a vault in Venezuela, but bitcoin in Colombia is bitcoin in Madrid is bitcoin anywhere in the world,” he informed CoinDesk in a latest interview.

Andrei Poliakov will probably be talking at CoinDesk’s Consensus 2025 in Toronto on May 14-15.