Borrow Stables Against Native BCH
Unlock stablecoin liquidity without selling your Bitcoin Cash. Rujira Money Market accepts native BCH as collateral on THORChain — new for BCH, non-custodial, no wrapping step.
Why this is new for BCH
Until Rujira shipped, BCH had no on-chain money market. The only way to take a loan against Bitcoin Cash was to send it to a centralized lending desk — which meant custody risk, KYC, and re-hypothecation of your coins.
- Native BCH as collateral — your Bitcoin Cash stays on its own chain; no WBCH is minted.
- Non-custodial — the protocol, not a company, holds the lien against your address.
- No KYC, no term lock — open a loan, repay any time, close it out. No account, no waiting period.
- Transparent parameters — LTV, liquidation threshold, and borrow rate are published on-chain and visible before you sign.
Step-by-step: deposit BCH, borrow stables
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Open Rujira Money Market
Navigate to the Rujira Money Market app. It runs on top of THORChain and supports native BCH as collateral — your BCH stays on the Bitcoin Cash chain until a liquidation event.
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Connect a BCH-capable wallet
Use a wallet that can sign BCH transactions with a memo. THORChain-compatible wallets route the deposit automatically. No wrapped BCH is ever minted for you.
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Deposit BCH as collateral
Send BCH to the inbound address shown by the Money Market, with the deposit memo in OP_RETURN. Your BCH is recorded as collateral against your address; the protocol does not re-hypothecate it.
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Choose your borrow asset and amount
Pick a stablecoin (e.g. USDC) and an amount within the allowed loan-to-value. The interface shows the liquidation price and current borrow rate before you commit.
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Sign the borrow transaction
Confirm the borrow. The stablecoins are sent to the destination address you specified — it can be the same wallet, a different wallet, or an exchange deposit address.
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Monitor collateral health
Keep an eye on BCH price vs. your liquidation threshold. You can repay part or all of the loan any time to reduce risk, or top up collateral if BCH drops.
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Repay to unlock your BCH
Send stablecoins back with the repay memo. Once the debt is cleared, the protocol releases your native BCH to the address you nominate. No wrapping step; no custodian handoff.
Risks to understand before you borrow
If BCH drops enough that your collateral ratio breaches the liquidation threshold, part of your BCH can be sold to repay the loan. Borrow conservatively — leave headroom.
The stablecoin borrow rate is algorithmic and moves with utilization in each market. It can rise during periods of high demand. Check the live rate before opening a position.
Non-custodial does not mean risk-free. The Money Market runs on deployed contracts; a bug or exploit could affect deposits. Use amounts you can afford to keep at this risk level.
Other things you can do with native BCH
BCH money-market questions
Is my BCH ever wrapped or bridged?
No. Rujira Money Market treats native BCH as first-class collateral on THORChain. Your BCH stays on the Bitcoin Cash chain, tracked on-chain against your account. There is no WBCH, no IOU token, and no bridge.
What loan-to-value (LTV) can I get on BCH?
LTV is set per-collateral by the protocol and adjusts with BCH market conditions. The Money Market interface displays the current maximum LTV, the liquidation threshold, and your liquidation price before you confirm. Conservative borrowers typically open loans well below the max.
What happens if BCH price drops?
If your collateral ratio falls below the liquidation threshold, part of your BCH can be liquidated to repay the loan and keep the position solvent. You can avoid this by repaying debt early or topping up collateral. The protocol publishes liquidation parameters publicly.
What is the borrow rate?
The interest rate on stablecoin borrows is set algorithmically from utilization in each market. Current rates are shown live in the Money Market UI. Unlike a CEX loan, there is no origination fee and no term lock — you can repay any time.
Why not just sell BCH for stables instead?
Selling is a taxable event in many jurisdictions and closes out your BCH exposure. A loan lets you unlock stablecoin liquidity without disposing of the asset — useful if you believe BCH will appreciate or if you want to avoid realizing a capital gain. It does carry liquidation risk that selling does not.
Is this custodial?
No. Rujira Money Market is non-custodial: your BCH is held by the protocol on-chain against your address, not by a company. There is no operator who can freeze, withdraw, or re-lend your collateral.