Hot take: hodlhodl's lending model is custodial

They use 2 of 3 multisig where you have a key, your counterparty has a key, and hodlhodl has a key

That means in all of these loans there is a group of 2 people (your counterparty + hodlhodl) who can pull the rug out from under you and run off with your money

They have the keys to your coins and can move them independently. You do not have the keys to your coins and cannot move them independently. That's precisely what custodial means: someone else has your money instead of you.