P2P Cryptocurrency Lending Platform Development Company
P2P Lending Software
P2P lending Software is the Exclusive corporate solution for budding Cryptopreneurs to build their own Cryptocurrency lending Platform. This White Label P2P Lending software is invigorate with rich features and good add-ons. We Bitdeal, Strives to develop a seamless gentle P2P Lending Platform that can be integrated with any Crypto Exchanges.
Features of P2P Crypto Lending Software
This Lender Management feature would make the entire process of lending and borrowing smoother and easier. It provides lenders info regarding borrowers profile which includes their KYC, Personal details, Loan criteria,etc,
Borrower Management lets borrowers to get their desired fund instantly and easily from the lender. The borrowers provides details regarding their requirements and the lender notifies them when the criteria matches.
Lead Management allows lenders to track the payment status, KYC, E-signature of borrowers.Once the process completes, The lender can add comments about borrowers.
Know Your Limit
Know your Limit feature helps both lenders and borrowers by indicating the maximum amount one can give and get by analysing their income certificate and Tax payment
Credit Score is the kind of trust score which would be the indication of borrowers gentleness in repaying the fund. This helps investor and lenders to make decision in proving funds
Document Management System
Document Management System enables lenders to view and access the documents of the borrowers like KYC
Buyer and Sell can use their own online wallet for borrowing and lending so they need to store their funds in the platform
Auto Renewal of Loans
Integrated Auto Renewal loans of loans to reduce the time and effort of users
Peer to Peer Transaction
Smart Contracts automatically executes the transaction between buyer and seller without any involvement of third parties. Thus, everything occurs end to end.
KYC and AML
Know your Customer and Anti Money Laundering is integrated along with location verification for a unique identification process.
Feedback mechanism lets users of the platform to give feedback about their user experience
Integrated Security Features of P2P lending Software
Integrated Escrow Protection to highly secured transaction
All the users data is encrypted to ensure data security
Standard DDos Protection to safeguard website from factors that interrupts the traffic of the website
Effective shielding of users account with anti CSRF Token
Server side Request Forgery Protection to enhance the overall security of the website
How Does P2P Cryptocurrency Lending Software Works?
Crypto to Fiat Lending
- At first the lender has to deposit the funds to the lending platform.
- To claim a loan against the cryptocurrencies a borrower has to deposit a required cryptocurrency as collateral to the platform. This is to ensure the security of the lender.
- The Platform sends the loan amount after the verification of collaterals, and the receipt of confirmation from both sides.
- The borrower has to repay the money with the instructed interest.
- The platforms send the actual fiat money with interest to the lender.
- The collateral will be pay backed to the borrower.
- Services fee will be collected from the borrower end
- The Loan To Value will be calculated up to 70% of the crypto assets market value.
Crypto To Crypto Lending
This is an exceptional and the trending concept of p2p crypto lending. Whereas the borrowers are allowed to get loans only with a preferred cryptocurrency, which may be ethereum, XRP or anything else. So to buy ethereum's the borrower has to deposit his/her bitcoins, and to lend the ethereum the lenders has to deposit his etherums to the platforms. A significant loan to value percentage will be calculated for different types of cryptocurrencies based on the market value. Everything else will be done like crypto-fiat lending.
P2p Cryptocurrency Lending Platform - The Overview
The Legacy P2P fiat lending platforms will allow any individual to claim loan from other individuals, by neglecting the involvement of any financial institutions such as banks as middleman. Whereas the P2P Cryptocurrency lending platforms also works as same as the legacy p2p lending platforms, but the loans will be claimed against the cryptocurrencies.
P2p cryptocurrency lending platforms act as the gateway to connect crypto lenders & borrowers under a roof, where the lenders and borrowers can lend & repay the crypto assets with added interest rate for various time durations. Borrowers will be allowed to choose the needed loan amount and the prefered set of fixed time durations proposed by the platforms.
The Benefits of Starting a P2P Cryptocurrency Lending Platforms
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.
So, ultimately as a service provider you are going to be the master of making the benefits through your cryptocurrency lending platform. Let’s see the benefits from the borrowers and lenders side.
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.
Check out the lending and borrowing system of poloniex here : Introduction to Margin Lending and Borrowing on Poloniex.
P2p Cryptocurrency Lending Platform Development
At bitdeal we support our clients to create a p2p cryptocurrency lending platform like coinloan, Nexo, celcius.network to connect crypto borrowers and lenders under one roof. The created p2p crypto lending platform can be tied up with any cryptocurrency exchange website which allows margin trading where traders and investors can transact funds between them from anywhere around the globe. At bitdeal we have a team of hotshot developers who are skilled in developing blockchain smart contracts powered automated and decentralized p2p cryptocurrency lending platforms with eight folded security. Interest rate, duration of lending offers, transaction process, repayment methodologies, collateral backups process, integration with exchange websites and everything else related to the p2p crypto lending system will be customized based on your requirements and we will write everything in smart contracts.
Top 5 p2p Cryptocurrency Lending Platforms & Service Providers
The above are the most trending p2p cryptocurrency lending platforms of 2020.
You can Check out the below two articles to know further references about their Lending Features, Interest rate, Supported cryptocurrencies and more.
Check out the another list of top p2p cryptocurrency lending platforms : Top P2P Crypto Lending Platforms
Smart Contract Powered P2P Cryptocurrency Lending Platforms
These are the next gen p2p cryptocurrency lending platforms, where all the lending process will be handled through smart contracts. Loan repayment, and the settlement of collateral will start to process automatically after the completion of loan repayment duration ends. We at bitdeal build smart contracts powered p2p cryptocurrency lending platforms on any blockchain. Based on the requirements we can proceed with proper customization.
At last we came to the end of this session. We are very glad to share our expertise with you. If you are having a plan to start a p2p cryptocurrency lending platform like poloniex, coinloan, Nexo, and any other platforms, then we can guide from the scratch.
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