> ## Documentation Index
> Fetch the complete documentation index at: https://docs.mezzamine.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Overview

> A BTC credit facility that pays you while it waits. Earn yield on idle reserves and draw liquidity without selling.

Line of Credit is a revolving BTC credit facility secured by BTC reserves and pledged hashrate. Reserves earn yield while they sit as collateral, and the operator draws against them without a taxable sale.

The facility has two sides. Reserves earn a yield while they back the line, and the revolving line allows draws against that same balance to operate and expand. The collateral keeps earning while the line is undrawn, so the reserve stays long BTC throughout.

|          | Rate   | On                |
| -------- | ------ | ----------------- |
| **Earn** | 2% APY | Idle BTC reserves |
| **Draw** | 3% APR | BTC credit drawn  |

An undrawn line carries no cost while the reserve earns, and a drawn balance costs the spread between the two rates.

## Yield on idle collateral

Bitcoin pledged against a conventional facility earns nothing. Reserves backing this line earn 2% APY for as long as they secure it, so pledged collateral retains both its BTC exposure and a yield while the credit line remains available.

## Illustrative 12-month example

| Action                        | Result   |
| ----------------------------- | -------- |
| Reserve 100 BTC for 12 months | +2.0 BTC |
| Borrow 20 BTC for 6 months    | -0.3 BTC |
| Net earnings                  | +1.7 BTC |

Over the period the reserve out-earns the cost of the draw, leaving the operator net positive in BTC while having taken liquidity against the balance.

<CardGroup cols={2}>
  <Card title="How It Works" icon="arrows-rotate" href="/for-miners/line-of-credit/how-it-works">
    Idle reserves earn, and the line revolves as you draw, mine, and repay.
  </Card>

  <Card title="Facility Terms" icon="table-list" href="/for-miners/line-of-credit/facility-terms">
    Reserve yield, draw currencies, rates, and limits.
  </Card>

  <Card title="Collateral and Custody" icon="vault" href="/for-miners/line-of-credit/collateral-and-custody">
    Reserves and hashrate, undrawn yield, and no margin calls.
  </Card>

  <Card title="Getting Started" icon="arrow-right" href="/for-miners/line-of-credit/getting-started">
    Open a line against your reserves and hashrate.
  </Card>
</CardGroup>

<Note>
  Indicative. Yields and rates shown are forward-looking targets subject to market conditions. Qualified counterparties only.
</Note>