Fintech startup Aven has officially launched the Aven Bitcoin Visa Card, a product that allows users to borrow against their bitcoin holdings without selling the asset. The card provides a line of credit of up to $1 million, secured by bitcoin collateral held in custody with BitGo. The card is issued by Coastal Community Bank, a Washington state-chartered institution.
The product offers fixed-rate, fixed-term loans of up to 10 years at an APR of 7.99%, along with unlimited 2% cash back on purchases. There are no annual or origination fees. According to Aven, typical bitcoin-backed loans carry APRs of 10% or more and have maximum terms of around 12 months. By offering longer maturities and lower rates, the company aims to make bitcoin-backed credit more comparable to conventional home equity lines of credit.
Aven operates what it describes as a 'machine-banking' platform that issues credit backed by existing user assets such as home equity, securities, and now bitcoin. The firm says this model has saved users $300 million in interest payments since its founding in 2019 and can reduce borrowing costs by up to 50% compared to unsecured debt.
Industry observers note that the long-term structure reduces refinancing risk for borrowers but does not eliminate the fundamental risk of collateral volatility. Declines in bitcoin value could still trigger margin calls or forced liquidations. The reliance on third-party custody also introduces operational and counterparty risks, though BitGo and Coastal Community Bank provide regulated infrastructure.
Aven's launch signals a broader push to bridge crypto assets with traditional financial products, positioning bitcoin as collateral for multi-year borrowing rather than short-term leverage. The company plans to scale this model globally.
