Experimenting with micro/nano loans on the Bitshares DEX
Did you know that the Bitshares DEX has a full credit offer mechanism built into it?
You can create your own loan offers, with your own configured accepted collateral, fees, durations, etc.
You can accept any loan offer given you have the requested backing collateral.
Let's get to the point
In order to drive the usage of this functionality up, I have created several micro/nano sized loans on the Bitshares DEX using their recently introduced credit offer mechanism.
The following micro loans were created, new credit offers could be created to reflect the changing value of BTS over time.
| Quantity | Borrowable | Collateral | Fees | Duration |
|---|---|---|---|---|
| 1 | 10 USDT | 1000 BTS | 0% | 12hrs |
| 3 | 5 USDT | 500 BTS | 0% | 12hrs |
| 10 | 1 USDT | 100 BTS | 0% | 12hrs |
| 5 | 0.5 USDT | 50 BTS | 0% | 12hrs |
| 8 | 0.25 USDT | 25 BTS | 0% | 12hrs |
So I make nothing from the above, the backing collateral is effectively 100% of the borrowed asset value & since there's no 'max borrowable' per credit offer I created many copies of the above for many users to get individual opportunties to borrow rather than all at once by a large borrower.
Whilst the fees are set to 0%, there are still network fees to account for.
For an LTM user, the total fees for borrowing are 0.4 BTS, where as for a non-LTM user the fees are 2 BTS.
Do you want to earn fees on crypto assets?
Consider creating your own credit offers on the Bitshares DEX!
Creating a credit offer cost as little as 0.1 BTS (LTM) to 0.5 BTS (non-LTM), you can set the acceptable levels of collateral which suit your risk profile (can be higher than 100%), and you can set whatever borrow fee you desire.
Hopefully these ultra-micro loans could be of interest to those with minimal starting funds.
If you had to lend out your crypto assets, what settings would you choose?
What do you think of these tiny loans? Would you take one up if you only had a few BTS to hand?
Links:
- Credit offer system: