Lenders and Borrowers Benefits on P2P Crypto Lending

in p2plending •  5 years ago 

There are more than one group of people who are making the advantage of p2p cryptocurrency lending platforms. So, as an Admin of the platform you are not alone going to make profit, instead its a two way success deriving financial tool. So, that’s why p2p crypto lending has become more popular. Let’s see the benefits from various ends .

From The Admin End

  • As an admin you will become The Bank of Cryptocurrencies. 
  • As the p2p concept takes place, there is no option for third parties to govern the fund transactions made on your site. So you fix your own protocols. 
  • Since you are providing space for borrowers and lenders to connect with each other, you can become a hub of cryptocurrency holders. You can utilize this customer base as an influence for your any other business enhancement in future. 
  • Starting a p2p lending platform is not gonna be as complex as exchange portal creation, or dapp creation. It is a very simple process, so that you can deploy your platform, with a p2p cryptocurrency lending software. 
  • For every lending, crypto borrowers should deposit their collaterals in your site, on behalf of the security of the lenders. So, as many as the lending increases, your crypto collateral holdings will increase. That would be the success of your p2p crypto lending business. 
  • Here your profit making methodology is collecting the fees. If you want to make more profit you can fix the default duration of a loan for short times. So, you can witness a frequent adoption of loan offers on your website.

From Borrowers End

Hopefully the next highest beneficials are the borrowers. Because lending is absolutely the concept of helping someone who is in financial needs with a proper payback system.

  • Safeguard Your Crypto Assets

    As a borrower if you need money you don’t have to sell your existing crypto assets. Instead you can get money against your crypto asset from any lenders.

  • **No credit score needed**​

    Here The ultimate benefit is, you don’t have to hold a positive credit score. So there is no chance to your previous credit history and the capacity of your repayments.

  • **Mot Convenient to Get Loans​**

    You can get loans in the form of fiat currencies or crypto backed assets like stable coins for a short to long period (i.e) from hours to years.

  • **No heart breaking penalties and conditions will imposed**

    As a borrower, you will be provided with a lot of repayment methods to properly pay back the fund. So, if you fail, there will be no hard penalties imposed and it will range from down to earth cost.

  • **No Sky Touching Interest Rates​**

    Interest rates are very low and are not complex.

  • **Minimal Risk**

    The percentage between the loan amount and the crypto collateral will be maintained under a stable raio. So, the risk will be minimal.​

  • **Zero Processing Time and Low Service Fee**

    You will be paid with the claimed loan offers as soon as the offer is claimed, So there will be processing time. You will get your loan immediately.

    From the Lenders End

    • ** Risk will be distributed to the pool of lenders **

      As a lender you don’ t have to provide the total loan amount proposed by the borrowers. So, you can provide a partial amount and with a duration, and the borrower can claim the balance from another lender. So, the risk will be diminished and distributed.

    • **Lend across the globe​**

      No controls and guidelines will restrict you to lend your money. So you can lend across the globe.

    • **Highest Competitive Returns**
    • **Guaranteed Repayments of Loans**
    • **AML Mechanisms Will Prevent you from Legal Risks**

      Apart from the above 3 cases, if you are running or looking to build a cryptocurrency exchange, then you can also make profit through p2p cryptocurrency lending. How?

      Like poloniex, you can integrate the exchange portal and lending portal inside one platform. So, traders who want to make margin trading, can borrow funds from the registered lenders by providing the crypto assets in your margin account as collaterals.

      Originally Published at : P2P Cryptocurrency Lending Platform Development Company

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