Blockchain Startup ETHLend Wants to Revolutionise The Finance Lending Market

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As the global P2P lending market is expected to grow at a CAGR of 53.06% during the period 2016-2020, the need for a secure, Blockchain based way of lending is growing steadily. Moreover, lending between participants from different parts of the world is now accessible.

ETHLend, a 100% decentralized peer to peer lending platform, is a decentralized application (DAPP) developed upon the Ethereum Network and they believe they can reduce friction in the global lending market.

The process is simple. Instead of lending FIAT currencies, users use Ether, a crypto-currency that runs the Ethereum Blockchain network. Since lending is decentralized, the loans are running on Blockchain, which means that once deployed, no one can manipulate, change or prevent the loans (not even ETHLend), thus providing security by design.

Secured loans. The borrower uses ERC-20 compatible tokens that may represent any value as a collateral for loans. Alternatively, borrower may use Ethereum Name Service (ENS) domains as a collateral. Today ERC-20 tokens are valued over few billion USD and ENS domains contain locked Ether that is rising near to a billion USD. As these figures are increasing astronomically, demand for decentralized crypto-lending will boom.

ETHLend’s Smart Contracts ensures – anywhere, anytime – immediate secure lending and borrowing possibilities, stimulating lenders and borrowers quicker than any known financial institution on the planet, according to the team.

The believe they can also reduce interest rate differences between different parts of the world by providing global liquidity pool by peer to peer.

With their first loan completed on 8 June, ETHLend is already working hard and efficiently to give everyone the ability for decentralized lending. One of the major advantages of Blockchain-based decentralized lending is the fact that it offers accessibility to global capital and reduces the dependence on bank procedures or even the access to banking infrastructures in developing countries.

The power of tokenization. In the near future, the borrower might buy a house in the UK, place the house on ERC-20 compatible token to represent the value of the house and pledge the token for a loan on ETHLend. Instead of settling for local lenders, the borrower can access funders across the world, adding more competition on interest rates. Tokenization could be used similarly to fund a solar power plant, buildings, tuitions or even a purchase of a dog.

ETHLend consists of an international team committed to change the world’s perspective on access to credit and micro-credit. The ETHLend team aims to provide more democracy to lending by removing interest rate differences between different nations by providing more liquidity when there are less excessive barriers on lending.

More details on what ETHLend is developing at http://about.ethlend.io

Contribute to the project on Slack

About Richard Kastelein

Founder of industry publication Blockchain News, partner at ICO services collective CryptoAsset Design Group (helped raise over $200m+), director of education company Blockchain Partners (Oracle Partner) and ICO event organiser at leading industry event  CryptoFinancing (first ICO event in Europe) – Richard Kastelein is an award-winning publisher, innovation executive and entrepreneur. He sits on the advisory boards of half a dozen Blockchain startups and has written over 1200 articles on Blockchain technology and startups at Blockchain News and has also published pioneering articles on ICOs in Harvard Business Review and Venturebeat.
 
Kastelein has spoken (keynotes & panels) on Blockchain technology in Amsterdam, Antwerp, Barcelona, Beijing, Brussels, Bucharest, Dubai, Eindhoven, Gdansk, Groningen, the Hague, Helsinki, London, Manchester, Minsk, Nairobi, Nanchang, San Mateo, Shanghai,Tel Aviv and Venice. His network is global and extensive.
 
He is a Canadian (Dutch/Irish/English/Métis) whose writing career has ranged from the Canadian Native Press (Arctic) to the Caribbean & Europe. He’s written occasionally for Harvard Business Review, Wired, Venturebeat, The Guardian and Virgin.com and his work and ideas have been translated into Dutch, Greek, Polish, German and French.
 
A journalist by trade, an entrepreneur and adventurer at heart, Kastelein’s professional career has ranged from political publishing to TV technology, boatbuilding to judging startups, skippering yachts to marketing and more as he’s travelled for nearly 30 years as a Canadian expatriate living around the world.
 
In his 20s, he sailed around the world on small yachts and wrote a series of travel articles called, “The Hitchhiker’s Guide to the Seas’ travelling by hitching rides on yachts (1989) in major travel and yachting publications. He currently lives in Groningen, Netherlands where he’s raising three teenage daughters with his wife and sailing partner, Wieke Beenen.

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