Hunton Andrews Kurth LLP recently represented a global investment banking and capital markets firm as sole lead manager and bookrunner in the closing of a $188 million asset-backed security (ABS) backed by a portfolio of bitcoin-collateralized retail loans from Ledn. S&P Global Ratings assigned the senior notes of the ABS an investment-grade BBB- rating, the first time a major credit rating agency has given this designation to a digital asset-backed security.

The success of this novel transaction paves the way for future securitizations involving digital assets, opening a significant new source of institutional capital for the digital asset lending industry.

The Hunton team was led by partner Jonathan Kim with the assistance of partners John Dedyo and Edward Douma, and associate George Zhu. Cross-disciplinary support was provided by partners Cecelia Horner, Abigail Lyle, Scott Kimpel, Jason Harbour, and Leslie Okinaka; counsels Kevin Gaunt and Bryon Mulligan; and associate Nikki Skolnekovich.