P2P lending blockchain process is seamless and trustworthy
Using blockchain in peer to peer lending could help remove intermediaries from the current system.
It could help make the lending process more efficient and smooth.
1. Cost Reduction: Blockchain could reduce the costs by allowing the borrowers to deal with lenders directly.
2. Time: Blockchain could make the entire process quick by adding regulations in the smart contracts.
3. The different rate of interest: The smart contracts could auto-generate the fixed rate of interests based on a borrower’s profile.
The three parties involved in the P2P lending blockchain are-
1. Lenders: A person who lends the money.
2. Borrowers: A person who requests a credit or loan with the intention to return it within a specific duration of time.
3. Guarantor: A person who takes the guarantee of a borrower requesting the loan
Blockchain connects borrowers and lenders from all over the world through a decentralized platform. The entire P2P lending blockchain process becomes seamless and trustworthy.