While your loan is open, your BTC is frozen in your Roxom account and held in segregated custody, either directly by Roxom or with a regulated institutional liquidity partner. Your collateral is never lent out, never reused, and legally ring-fenced from any partnerâs own assets. You retain full legal title to your BTC.
Quick facts
| Item | Value |
|---|
| Custody model | Segregated custody (per user) |
| Legal title to BTC | Stays with the user |
| Lent out or rehypothecated | No |
| Liquidity partners | Regulated institutional counterparties |
| Proof of reserves | On the roadmap |
| Insurance | None (not equivalent to a bank deposit) |
What happens to my BTC while the loan is open?
Your BTC is frozen in your account within the Roxom platform. You cannot withdraw or use it while the loan is open.
Auto-Earn handoff. Auto-Earn pays you based on the daily minimum available BTC balance in your funding account. Locking BTC as collateral is treated like moving it out of the available balance, so collateral BTC stops earning Auto-Earn yield for as long as the loan is open. When you fully repay (or after any partial collateral release via Adjust â Decrease), the released BTC returns to the available balance and starts counting toward Auto-Earn again.
You retain full legal title to your BTC. Roxom holds only a contractual security interest, not ownership.
Collateral may be held directly by Roxom or with one of our trusted regulated institutional partners. In either case:
- It is held in a segregated account.
- It is legally ring-fenced from any partnerâs own assets.
- It is never lent out.
Who are Roxomâs liquidity partners?
Roxom Loans works with regulated institutional counterparties to fund its lending operations. Partners are selected based on regulatory standing, custody infrastructure, and financial soundness.
In all cases, user collateral is held in segregated wallets, legally isolated from the partnerâs balance sheet, and protected even in the unlikely event of a partnerâs insolvency.
Can Roxom use my BTC for other purposes?
No. Your BTC is held in segregated custody, either directly by Roxom or with one of our regulated institutional liquidity partners. In all cases, collateral is:
- Never lent out.
- Never reused.
- Always legally ring-fenced from any partnerâs own assets.
Any material change to this policy will be disclosed, including to the regulators.
How do I know my BTC is actually segregated?
The system maintains individualized records per user with daily reconciliation. Each userâs BTC is not commingled with Roxomâs capital or other usersâ assets.
This is contractual and operational. A public proof-of-reserves mechanism is on the roadmap, but not currently available.
Is it insured against hacks or Roxom insolvency?
BTC is held in segregated custody, separate from Roxomâs own assets. This is not equivalent to a government-insured bank deposit.
Technological and operational risks are covered through the institutional custody mechanisms described in the Terms and Conditions.
This content is for informational purposes only and does not constitute investment advice. Trading digital assets involves significant risk, including the potential loss of your entire investment. Please review our Risk Notice before trading. Last modified on June 11, 2026
