EtherFi Borrowing Market Review 2026: Borrow Against Crypto

EtherFi Borrowing Market is the lending product inside ether.fi, an all-in-one non-custodial app that also covers staking, trading, sending and a crypto card. The homepage frames borrowing as a way to get liquidity without selling assets you want to keep.

DefiLlama tracks it in the Lending category on Optimism and Scroll, with about $311.6 million in TVL and a 2.8% rise over seven days. It has been listed since 30 June 2025, and the associated token is ETHFI.

The project does not give interest rates, collateral lists, loan-to-value limits or liquidation terms. This review is based on public listing data and the homepage, not on hands-on use.

A crypto borrowing market works on collateral. You deposit assets you already own, and the protocol lets you borrow against their value instead of selling them. If the collateral value falls too far relative to the loan, the position can be liquidated to repay the debt.

EtherFi Borrowing Market is the borrowing part of the ether.fi app, which also covers staking, trading, sending and a card. Public sources list deployment on Optimism and Scroll but do not describe the specific collateral assets, interest model or liquidation engine.

The homepage describes ether.fi as a non-custodial app, meaning users keep control of their keys. Rates and limits are not stated publicly, so check the app and documentation.

Borrow rates, collateral ratios and liquidation penalties are not published publicly. Users should expect to see them in the app's borrowing interface or the documentation before opening a position.

The wider ether.fi account has membership tiers with different cashback levels, and the homepage describes sending money as low-cost, but no figures are given. The Cash card is issued under separate terms from a third-party issuer.

The homepage describes ether.fi as a decentralized, non-custodial protocol, names Halborn as an auditor, and links a bug bounty. DefiLlama lists zero audits for this market, so the scope of any review of the borrowing contracts should be checked in the documentation.

The site's own disclosure warns of potential loss of principal, slashing penalties and smart-contract vulnerabilities, and says rewards are not guaranteed. Borrowers also face liquidation if collateral prices drop. The balance protection program is stated as not yet live, so do not rely on it. No incidents are mentioned publicly.

This market is for existing crypto holders, especially ETH and ether.fi users, who want to borrow against their assets rather than sell. It suits people who understand liquidation risk and can monitor a loan. It is less suitable for beginners or anyone who cannot absorb a sharp price drop.