The ETHLend project aims to establish a decentralized peer-to-peer lending platform for cryptocurrencies on top of the Ethereum blockchain, and in so doing has the potential to revolutionize and democratize finance. Currently, lending is dominated by very large financial institutions that increase costs to justify their operations. The ETHLend platform, using blockchain technology and “smart contracts,” threatens to disrupt this financial status quo and remove needless intermediaries to provide more favorable terms to borrowers and lenders.
On the ETHLend platform, anyone with the ETHLend token, LEND, or other collateral such as ERC20 tokens or Ethereum Name Service (ENS) domains can provide loans to borrowers by bidding competitively. Lenders offering the lowest rates of interest win the auctions, giving borrowers the best possible deals and incentivizing use of the platform. The platform will also provide lenders with data on borrowers to determine their level of risk based on their histories. As a decentralized platform, ETHLend will not offer any loans: the exchange of value will take place among the users.
Because of the competitive rates of interest on the platform, and because of the international reach of the platform, borrowers will be able to access funds that would otherwise be unavailable to them or would be much more costly. This will have the effect of creating new economic opportunities globally. Businesses will be able to expand or pay expenses that arise unexpectedly by using the ETHLend platform. Because of the international scope of cryptocurrencies and the ease with which they can be exchanged with one another and fiat currencies, the platform will be available to people from all over the world.
The accessibility of loans will level the playing field economically. With large institutions currently dominating finance, those of humble financial means or connections are often not given consideration. ETHLend will turn the system on its head by empowering individuals and removing the financial intermediaries that traditionally have excluded ordinary people from obtaining loans at reasonable rates of interest. The smart contract capabilities of the Ethereum blockchain remove the need for these intermediaries.
The LEND token is ERC20 compatible and can be stored in standard Ethereum wallets. The total supply of LEND will be one billion, and about a third of that supply will be held by the project for administrative expenses and marketing. LEND token holders will receive benefits to incentivize their use of the platform, such as LEND airdrops and reduced fees.
The ETHLend token crowdsale will take place from November 25 to December 9, 2017. During the crowdsale, one Ether (ETH) will purchase 25,000 LEND. The minimum amount of ETH to participate is 0.01.
*I am receiving ETHLend tokens for the growth of the community.
For more information about ETHLend: