Important links


Reviewed: 4-1-18
ETHLend wants to make lending available on global scale. Instead of relying on local banks and lenders, borrowers should have the possibility to obtain a loan from anywhere in the world.
They introduced decentralized lending on Ethereum network by using ERC-20 compatible tokens or Ethereum Name Service (ENS) domains as a collateral.
ETHLend has a working DAPP which is live for over 6 months. 0.2 Alpha has been running for over 2 weeks and reached 600k lending volume (access it with Google Chrome or Mozilla Firefox browser). You can see different loan requests on their Twitter or Telegram group (14k members and have an active social media manager for questions 24/7). A loan request can look like this: (more examples can be found on their twitter)
“New Loan Request on #ETHLend – Loan amount 6107.62 $USD – Profit 183.22 USD – Backed by 500 #OmiseGO Tokens:”
An explanation with pictures about the working application can be found in the whitepaper page. (1)


Important links


By decentralizing lending, borrowers do not require banks or any other intermediaries for conducting a loan transaction. It also means that borrowers and lenders do not even need to trust ETHLend because Ethereum-based ERC-20 tokens are easily transferable between Ethereum Wallets and Smart Contracts. These Smart Contracts provide a trustless and transparent lending environment because the Smart Contracts itself can represent legally binding agreement, and the contractual statute can be agreed upon on the terms and conditions. Also asset tokenization can be used to open the door for true global liquidity. Asset tokenization means that an ERC-20 token can represent assets such as gold, company shares or properties.

Representing value as a collateral for borrowing
Ethereum-based ERC-20 tokens are perfect to use as a collateral. Ethereum-based ERC-20 tokens are easily transferable between Ethereum Wallets and Smart Contracts. The contractual statute can be agreed upon on the terms and conditions and the digital tokens are flexible. Due to this flexibility, assets such as real property, company shares and commodities can be placed on a token and pledged for a loan.

At the moment they are developing/upgrading different options for the application. Some examples are explained below:

Crowd lending
Crowd lending is created to share the risk amongst multiple lenders.
ETHLend will introduce lender side offers (on-demand lending)
These are loan offers that lenders can place on the application, they are placed by stating how much liquidity and on what price the lender is willing to provide the liquidity. The lender also indicates which tokens the lender accepts as a collateral or which credit rating must be met.
Artificial Intelligence and Ledger Big Data to Predict Credit Risk
ETHLend shall provide a protocol for artificial intelligence (AI) bot creators for assessing the Ethereum distributed ledger data to predict credit risk. Such AI bots shall harvest and judge the data on Ethereum addresses to determine the quality of the transactions and aid lenders on credit decisions.
Currency Exchange Risk Management (FIAT pegging)
A volatility risk might be in hand when a borrower borrows 1 ETH once the ETH price is at 200 USD. This issue is solved by providing FIAT based loans where the loan amount is represented in FIAT currency, even though the transaction is conducted in ETH.
APIs for Creating Lending Bots
ETHLend will provide APIs for bot creators to automate lending and borrowing bots.
Lending Bitcoin, Altcoins and Tokens
They will introduce lending Bitcoin (altcoins) for wider adoption of the decentralized application. Moreover, lending ERC-20 compatible tokens are introduced to cover additional lending strategies such as short selling and hedging.

Function of LEND token
By purchasing LEND, the early adopters receive a discounted price for using the decentralized lending platform. LEND token is also used to accelerate user adoption and lending volumes on the platform by purchasing LEND back from the market and rewarding the active lenders and borrowers with LEND by airdrops. ETHLend will provide functions that are only accessible with the use of LEND. These featured functions will include featured loan listings (listings where the loan request is placed on top of the search results) and email marketing campaign for new loan requests. ETHLend reserves the right to provide more additional featured functions for the LEND users.

“Is ETHLend competing with SALT?”
No, both projects at ETHLend and SALT involve lending but in a different way. We like Salt and there is a use case, Salt is like a bank that lends you fiat for your crypto. ETHLend is fully decentralized & p2p loans are crypto to crypto with the possibility to do USD pegged loans.” – Kelly Ann Pope (Social Media Manager)

The team of ETHLend exists of 22 young people and has at the moment 6 advisors.
CEO: Stani Kulechov, Master Degree Law, blockchain community member with a legal background with a passion in creating financial Smart Contracts. (2) Blockchain Developer: Anthony Akentiev, 12+ years of C++ experience. Founder Dao.Casino (blockchain gaming market using Smart Contracts) (3) Legal Adviser: Adnan Javed, Worked in blockchain FinTech and IoT startups focused on regulatory aspects of blockchain. (4)

– Eidoo, New generation HD wallet with enhanced security features. (5)
– Digix Dao, Gold-backed crypto platform. The partnership consists of R&D collaboration, creation of the shared products and new functions. (6)
– Bloom, Decentralized credit scoring powered by Ethereum and IPFS. Creation of the reputation based lending. (7)
– NaPoleonX, algorithmic asset management company for crypto investors. (8)
– Sharpe Capital, FinTech organization developing a platform to crowd-source market sentiment on global equities and blockchain assets. (9)
– Brickblock Trade in tokenized ETFs, Real Estate, and Coin Funds stored under your name in your digital trust. (10)
– CHANGE, a mobile Crypto-Wallet for ERC20 token Crypto-asset portfolio management with debit card, collateral management, identity management and other cross-platform integration services. (11)

2018 Q1: On-Demand and Crowd Lending, User Experience Upgrade, Relocating to Zug (Switzerland), Promoting to get LEND on Exchanges, Airdrops for LEND starts
2018 Q2: Penalties for Late Payment, Lending Bitcoin, LEND accepted as payment with 25% discount, Gateway for Decentralized Providers (uPort, Civic) to DCR, Oracles: Centralized feeds to DCR
2018 Q3: Second User Experience Upgrade, Protocol to enable AI and Big Data to assess Credit Risk
2018 Q4: Prediction Market to Assess Credit Risk, Lending Other Altcoins and tokens, Opening Suggestions Venue for Public, Creating and Testing Democracy DAO
2019 Q1: Protocol to Enable Insurance Policies (with AI bots), Voting on Suggestions Deployed
2019 Q2: Sophisticated collateral control (Calling & Liquidating the collateral)
2019 Q3: Competitive bidding on interest rate between lenders
2019 Q4: Expanding Decentralized Lending and Decentralized Credit Rating beyond Ethereum network, Vesting for LEND Ends

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