Lately, I been using Lendasat to create bitcoin backed USDT Liquid loans. The goal is to offer them interest free. The loans are small right now but this is something I been wanting to do for quite some time.
Since the loans are bitcoin backed I have a less chance of getting scammed or lending to irresponsible people.
Lendasat doesn’t allow lenders to charge below 1% APR.
To make it truly interest free I offer to return the borrower the interest they paid me.
Starting off slow. 9 loans provided to date. (A few got liquidated due to this crash and setting a I high LTV.
But my goal is to grow this loan book over time. Interesting free lending.
Do you lend bitcoin or fiat? I don't understand how my Bitcoin can be locked up in an on-chain address if it is also being lent out. Sorry if this is a stupid question.
Backed by bitcoin to lend out fiat. Lending in bitcoin is a tough proposition for the borrower.
Thanks! I see, so the borrower posts bitcoin in exchange for a stablecoin loan, and so if I wanted to provide loans, I would need to provide stablecoins.
Or regular dollars. Lendasat has many different currencies you can lend out.
I stick with USDT liquid because it’s the only stable that is somewhat linked to Bitcoin. The others I try to avoid
But Lendasat developed a cool swap service between lightning and USDC on polygon which makes it extremely fast and cheap to get dollars into Robinhood. Way better than using ACH.
That is the only other stable I use to manage my fiat and bitcoin swaps
What's the easiest way to turn USDT Liquid into Bitcoin? Does Aqua wallet support that? I've never tried this...
My go to is SideSwap!
https://sideswap.io/
They do a good job bridging the gap between Bitcoin and liquid. They do instant swaps.
thank you. I just sent you a message on lendasat
Link to your loans / profile on lendasat? @BlokchainB
Not sure if I can
https://lend.lendasat.com/
If you go there create an account search by my name you can find it
So the platform provides contact details for the borrower and you reach out after loan+interest has been paid back and offer to reimburse the loan?
Yeah each loan has its own chat box you can message the borrower at any time even after the loan has closed
What's your goal? Just to grow the bitcoin ecosystem?
To bring back ethical lending. Greed has completely controlled us. According to the bible if you are going to lend money you shouldn’t expect interest back.
Wow. This is really cool. God bless you for starting something like this
Thanks
Nothing is free