ETHLend (LEND) is a decentralized peer to peer lending smart contract platform based on lending Ethereum by using tokens as collateral on the Ethereum Blockchain. ETHLend allows for both lenders and borrowers to discuss loan details removing any middlemen, in turn, this means lenders and borrowers can create loan contracts with customizable terms.
ETHLend can use any ERC-20 token (MANA, SNT, BNB etc) as collateral for Ethereum, as of now only borrowers can create loan contracts on ETHLend. To create a loan contract the borrower must state interest details, amount of tokens required and any other additional details, if the lender agrees with the contract the loan will take place. ETHLend has made it if the borrower fails to repay the loan the lender will collect the collateral as payment which is more than they actually have to repay, this is a great system as it stops scammers just running away.
ETHLend solves many problems that are faced by millions of people who may need a loan these include trust, access, and interest. Since ETHLend is completely decentralized this removes the need to trust the other party, users can also trust their collateral is safe as it is locked and controlled by smart contracts. Access is key as it allows for users to arrange a loan from anywhere in the world compared to the centralized/mainstream methods of applying for a loan which would be to meet in person and get approval, instead, users can receive their loan in minutes due to Blockchain Technology. Interest rates are no longer determined by politics, finance or banks as both lenders and borrowers can arrange an interest rate that suits both parties.
ETHLend have many plans for improving on their platform which is key in order to differentiate them from lower ranking competitors. Future plans involve implementing lending Bitcoin utilizing dApps, penalties for late payments which could result in burning LEND tokens or unable to apply for loans due to a soft ban and eventually lending all ERC-20 tokens which would be really significant to the market and ETHLend would definitely thrive as it has never been done before in a decentralized manner.