LendLegdger is here to solve the problem of lending that has been facing business owners and the financial institutions that give out loans or that borrow out loans. It is a platform that is built to use the blockchain technology to connect the Lender, borrowers and the data service provider to create trust in the lending industry using the stellar smart contract blockchain. The 3 major issues that prompted this great innovation are as follow:
The Borrowers’ Problem
The borrowers which are the business owners who want to grow their or that need working or running capital face with formal financial documentation to prove their creditworthiness history. As a result of this, the lenders which are the institutions refused them for borrowing money to grow there. Instead, they run to family members or friends running capital for the advancement. Most of the time, they don’t really get satisfied with the kind of money they get from family member compared to the amount they needed to incurred in their businesses. This also affects the growth of the economics of a nation. Hence, He or she doesn’t have an option to continue the conventional way of the lending system to manage his or her business.
They do their business using various digital services that collect large amounts of financial data on them and their business. They may pay their mobile data and utility bills through a mobile wallet, and they utilize a mobile point-of-sale (PoS) gadget to allowed customer’s debit cards. These transaction histories could have supported their creditworthiness to a lender that would have to create financial credibility for their business to have access to loans to grow their business. Most of the digital service providers don’t share data with the financial institutions or credit bureaus. The business owners have the profitable and growing business which would have proven that they are ideal loan receivers.
The Problem of Data Service Providers
Majority most digital service providers don’t share data with financial institutions or credit bureaus. This has stated above in problem one.
The Problem of The lenders
The lenders which are the financial institutions are willing to borrower out load for the business owners to increase their profitability, but the digital service providers are not willing to share the data of the borrowers to boost their credibility to qualify for loans.
Solution to the problems
The LendLedger is here to offer a lasting solution to this problem via the blockchain to brings together Borrowers, Data Providers (DPs), and Lenders in an open and secure worldwide ecosystem built on blockchain technology. LendLedger picture a lending market that is inclusive and profitable for all users.
The lending market requires an environment that is dependable and transparent that will brings together Lenders with Borrowers’ data and tracks repayments over a period of time. The business owners can securely and verifiably send Swipe credit data to various Lenders and create credit history as they repay the loans, then trillions of dollars in loans to informal sector borrowers and small businesses can also become accessible and affordable to Lenders.
The Initial Coin Offer (ICO)
As we can see there is a great potential in this project, let support this project with our contributions to help this team actualized this innovation. The Initial Coin Offer (ICO) is live on their website. You can visit the site to invest in the project. They have the best team to make this dream come through.
Author Bitcointalk profile: https://bitcointalk.org/index.php?action=profile;u=1077036