In the global lending industry, there is one sector of this industry where transparency is lacking. The lending takes place between family and friends. Although the informal lending sector is as large as the formal lending sector, there are huge differences between these two industries. By formalizing this sector, it would reduce risks for lenders and improve the terms for borrowers.
What Lendsbay Will Offer
The Lendsbay platform will offer simple but effective solutions to some of the problems that dog this industry. To achieve this, they will create an app that makes it possible to manage loans between friends, relatives, and acquaintances. The app will find a lender and then document, register, and administer the loan.
The other solution will be the creation of social groups, which make it possible to pool financial resources for mutual lending. The groups could be centered on work, universities, and social clubs where some level of trust already exists. These are also groups with a high degree of social control, not to mention that there will be little tolerance for irresponsible actions.
The developers also intend to create a blockchain that will store all the credit-related data of the individuals. The blockchain can then be utilized for financial transactions between individuals. In future, they will also develop elements that will make it possible to create an ecosystem for financial solutions. For instance, it will have aspects of purchasing, selling, mutual insurance, and decision-making.
The end goal of Lendsbay is the creation of a community that is based on pooled resources and mutual trust. Each action that is taken by a user of the Lendsbay ecosystem will be recorded as a rating. This rating will be based on how trustworthy and reliable they are within the social group. Since this platform will promote users that have a high rating, the amount of reliability within the ecosystem will continue growing.
LendsBay P2P Lending Based On Credit Rating Market Analysis
An analysis of the informal lending industry shows that is quite huge. According to data, between 10-20 percent of all families do not use any debt services, which is amazing. Obviously, these families do use some kind of loans. When a full estimate is done, it shows that the informal lending industry is about 1 trillion USD. This is similar in size to the formal lending industry.
Developers of Lendsbay platform also carried out a survey. They found that almost everyone lends informally to family and friends. Surveys in the UK and the US show that a huge amount of people would be interested in this platform.
Lendsbay said that they would appreciate a platform that allows them to document and formalize transactions. For instance, when parents lend to kids for cars, flats, and education, it would be nice to have a record of the loan. This is because they also have other children they would like to help.
LendsBay LBT Token ICO Details
Parameters Of The ICO
- ICO Date: June 18, 2018 – July 29, 2018
- Country: Russia
- Ticker: LBT
- Platform: Ethereum
- Token Type: ERC20
- Tokens for Sale: 75,000,000 LBT
- Total Tokens: 100, 000, 000 LBT
- ICO Price: 1 LBT = 0.0006 ETH
- Accepted: ETH
- Soft cap: 300,000 USD
- Hard cap: 1,500,000 USD