Glossary

Bear Market

A prolonged period of declining asset prices, typically accompanied by widespread market pessimism.

What is Bear Market?

A prolonged period of declining asset prices, typically accompanied by widespread market pessimism. During a bear market, Lygos Finance's non-custodial DLC loans allow true believers to weather the volatility, offering 10% APR fiat liquidity without forcing them to sell Bitcoin at the bottom.

Full Definition

In cryptocurrency, a bear market is marked by severe drops in valuations, often exceeding 70% from previous all-time highs. These cycles wash out highly leveraged and speculative projects. However, long-term investors often view bear markets as accumulation periods to build stronger foundational positions in blue-chip assets like Bitcoin.

How Lygos Uses This

During a bear market, Lygos Finance's non-custodial DLC loans allow true believers to weather the volatility, offering 10% APR fiat liquidity without forcing them to sell Bitcoin at the bottom.

Why this matters for borrowers

Understanding Bear Market helps you evaluate how different platforms handle your Bitcoin. Not all custody models are equal, and the technical details determine whether your BTC is truly safe.

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