Atlanta-based crypto payment processor Bitpay has launched a groundbreaking service called HODL Pay, offering users a way to spend stablecoins without selling their cryptocurrency holdings. With a focus on long-term investors, HODL Pay leverages decentralized finance (DeFi) to unlock liquidity while allowing users to maintain exposure to digital assets.
This new option marks a major milestone in the evolution of crypto payments by letting holders borrow against their assets to make purchases. As adoption grows, HODL Pay could become a key bridge between the crypto economy and traditional commerce.
How HODL Pay Works
At the heart of HODL Pay is a seamless integration between Bitpay and Aave, a popular DeFi lending platform. To use the service, customers must deposit crypto assets as collateral on Aave. Supported networks include Ethereum, Arbitrum, Base, Polygon, and Optimism.
Once assets are deposited, users can borrow stablecoins—like USDC or DAI—directly from the Aave platform. These stablecoins can then be used to settle any Bitpay invoice, including those for:
- Retail purchases
- Travel bookings
- Gift cards
- Bill payments
Whether shopping for everyday goods or larger items, such as vehicles, HODL Pay allows users to access funds without triggering taxable events by selling their holdings.
The Power of HODLing While Spending
The name “HODL Pay” pays homage to the popular crypto slang HODL—a misspelled version of “hold” that has come to represent long-term belief in crypto assets. For users who want to hold onto their Bitcoin (BTC), Ethereum (ETH), or other digital currencies, this service is a game-changer.
By borrowing stablecoins, users can tap into the value of their crypto without relinquishing ownership. This is particularly useful during bull markets, when many prefer to maintain their positions in anticipation of price appreciation.
According to Bitpay Chief Marketing Officer Bill Zielke, “With HODL Pay, Bitpay gives users an innovative way to spend confidently today without giving up their future growth.”
Global Support with No Merchant Setup Required
One of HODL Pay’s biggest advantages is its instant global availability. Any merchant already accepting Bitpay automatically supports HODL Pay—no additional setup or integration is needed.
This frictionless implementation makes the service appealing for merchants seeking to accommodate crypto-savvy consumers. Whether it’s a boutique clothing store or a luxury car dealer, businesses can now accept borrowed stablecoins as easily as they would accept Bitcoin or fiat.
For instance, Nick Dossa of Vegas Auto Gallery noted that the service provides increased flexibility for customers purchasing high-ticket items like exotic cars.
Layer 2 and the Future of Crypto Spending
As blockchain networks seek scalability, layer two (L2) solutions are gaining popularity. Bitpay’s HODL Pay is fully compatible with major L2 chains like Polygon and Arbitrum, ensuring faster, cheaper transactions.
This compatibility supports Bitpay’s broader vision of enabling Web3 payments at scale. By aligning with popular L2 networks, HODL Pay reduces transaction fees and latency, making it viable for more frequent, real-world spending.
What It Means for the Future
HODL Pay isn’t just another crypto lending tool—it’s a potential catalyst for mainstream adoption of decentralized finance. It empowers users to manage wealth strategically while benefiting from real-world utility.
As the DeFi ecosystem matures and regulatory clarity improves, services like HODL Pay could become essential components of a modern financial toolkit. Crypto users get to HODL their assets and still participate in the economy—on their terms.
As the DeFi ecosystem matures and regulatory clarity improves, services like HODL Pay could become essential components of a modern financial toolkit. Crypto users get to HODL their assets and still participate in the economy—on their terms.
Ultimately, HODL Pay reflects a shift toward practical, user-focused crypto innovation. It bridges speculative investment and real-world usability, creating more inclusive financial access. As more users seek to unlock liquidity without selling, solutions like HODL Pay will likely shape the next wave of digital finance—bringing crypto spending one step closer to the mainstream.
Featured Image: depositphotos @ zoomteam
