Thanks for sharing.
I want through the white paper of EthLEND as I don't recall seeing such initiative on a decentralised network.
My main point of attention here is how to handle default events: while there is a pledge deposit at the time of the transaction (I guess the pledge is not reusable as locked), I don't see any mention of margin call throughout the life of the contract. It can really go sideways if what you lent is not covered anymore by the collateral: the counterpart would just leave the contract expire with the collateral and meanwhile sell your assets as the value increased.
I agree with you that a L&B market on crypto currencies is a must have if we want it to grow as a financial engine for the world. However, I have failed seeing a mechanism that would secure both parties. This a basic for such type of contract.
Thanks for doing your own research on the coins, you actually are bringing up a good point.
I think #LEND will be used -at least at the beginning to cash out easily on your crypto assets without going by a KYC protocol to deposit to your bank. You put your coins as collateral, and you receive USD. The other party is basically willing to take more risk and of course, gets paid 15% of the amount it's lending you.
it will take a bit of time before #LEND becomes the financial engine we want it to be, but the use case of people in third world countries being able to get FIAT money by "selling" their crypto coins will only get more appeal.
I was under the impression that EHTlend was promising a crypto to crypto L&B contract. Or probably considering USDT as digital fiat?
The use case you mention is indeed a potential one I didn't consider at first. So its a way to organise an OTC market, however with a larger fee (collateral).
Anyway, such type of initiative will help to understand the limit of the space and have it progressed in the right direction, shouldn't it be fully successful.