Crypto Holders Turn to Loans as Markets Cool in 2026: CQ

Crypto holders relied more on loans backed by digital assets as market conditions weakened in 2026, according to research from CryptoQuant. The report analyzed data from crypto lender CoinRabbit. It found higher borrowing activity among both retail and high-net-worth users.

Borrowing Activity Rises Crypto-backed loans allow holders to access cash without immediately selling their digital assets. Borrowers usually pledge more collateral than they receive, but falling prices can trigger liquidation or require more collateral.

According to the report, retail users recorded the biggest change in borrowing activity during the period. Their average number of loans rose 74%, from 30.8 per user in 2025 to 53.5 in 2026, while high-net-worth users rose 18%, from 16.5 to 19.4.

Repeat borrowing also became more common across the platform. The share of users taking multiple loans increased from 61.9% to 65.1%. Retail borrowers waited an average of 21 days between loans, compared with 11 days previously.