Lending via smart contracts

[bali83]

there is an interesting part in your WP.
You says that you will create a new cryptocurrency Maxit, and its price can't change more than +2 or -2%.
I understand that you will have reserves. But what if the price go up with 40%? Than you will have to have more reserve to achieve price stability. Or how want you achieve price stability?
And if Maxit can gain every day 2%, that means it can worth 1000 times more a year later?

[maxitdev]

First the second question:
Theoretically yes, it can worth 1000 times more a year later. But the money supply is continuously increasing so there is only an extremely minimal chance that will happen.
As of a 40% gain need an 18-day continuously increasing. In a speculative way, it isn't profitable, because of the speculator need to buy many coins and can't get enough high profit compared to its risk. It can happen also, while there is a serious turnover, but in that case, our reserve also grows as our incomes from the commercial platform.
Probably there won't be more than 30-40% price increase of Maxit against USD.

[passwordnow]

Everything including lending can work with cryptocurrencies but the bad thing is most of these lending projects are likely to be a scam. I haven't checked maxicredit but as for checking the tenure of the website, it looks new and one shouldn't be quick investing to this website.

Important Dates
Expires On 2020-01-10
Registered On 2019-01-10
Updated On 2019-01-10

Last year, lending platforms were rampant. And most of them ended up in grave.
I believe there is some sort of loophole within this lending system why they keep on sprouting.
Are there users interested to use their services? Or they are just using the lending platform to get their easy prey?

There is a loophole but I saw a very few of them became popular and looking good within the process. Yes, there are still users who have been leaning to this kind of service. I never used them but I used to check all of those projects. Nothing new and no one got my interest to interact with any of those projects. As for the investors who are looking at it, make sure that you are putting what you afford to lose and again and again, do your own research.

[Natalim]

That's because he did not understand how crypto works, and how smart contract works.
If we will browse the projects in the market, you can find a lot of lending business and they are using the blockchain for that.

This one is a lending platform - https://coinmarketcap.com/currencies/debitum-network/

[maxitdev]

There are also others like Fintrux. But both Debitum and Fintrux target small companies.
The interesting in MaxiCredit - https://www.maxicreditcompany.com - is that it is about a wider range of lending. Even personal loans.

[GospelCrypto2]

Smart contracts for lending how possible is that? I heard the smart contracts on the ethereum are not truly smart because they do not truly integrate with the real-life environment and need to be triggered internally. If this is true then i think smart contract will not be a good fit for lending

[IParn]

Traditionally, smart contracts involved the platform Ethereum and he is the leader in this. But now there are many other projects that also use it.

[maxitdev]

Now smart contract uses oracles to get data from the real world, like current time.
But it is possible to invent a blockchain which can do this. Maybe it exists already.
Does anyone know about such a project?

[fullhdpixel]

Somebody tell me he did not believe that lending can work with cryptocurrency.
What do you think?

I think it can work. Why? Read this white paper:
https://www.maxicreditcompany.com/whitepaper.pdf

I have thought about building a platform that enables lending via smart contract but there will be a lot of things to consider which I haven't been able to do yet, one of it is that what will one use as collateral since the loan will be on the blockchain.

Let's say for example you are giving tokens on exchange as loans, how would you be able to trace the person who collected the loan if they refuse to pay, or will there be a way to reverse the coin back to its original wallet, if so then the purpose of the blockchain have been annulled because the blockchain was built to be decentralized.

[maxitdev]

Think about, lending in a traditional way contains many types of uncovered loans - credit card, personal and consumer loans. Where the important thing is to predict that the potential debtor will or won't pay back the loan.
In blockchain where every transaction is visible, it is much easier to predict who will pay and who won't. Also, a blockchain can register credit score, which is built upon previous credit history - if you build your credit score many years long, you won't it ruin directly.
Blockchain also makes it difficult to hide for bad debtors.
I know many things mentioned in this white paper https://www.maxicreditcompany.com/whitepaper.pdf will be available only in the next years, but the whole blockchain, smart contract technology is about the future, not about the 0,1% who use it today.
If you are really interested in lending via smart contract send me a private message.

[pixie85]

Somebody tell me he did not believe that lending can work with cryptocurrency.
What do you think?

I think it can work. Why? Read this white paper:
https://www.maxicreditcompany.com/whitepaper.pdf

I have thought about building a platform that enables lending via smart contract but there will be a lot of things to consider which I haven't been able to do yet, one of it is that what will one use as collateral since the loan will be on the blockchain.

Let's say for example you are giving tokens on exchange as loans, how would you be able to trace the person who collected the loan if they refuse to pay, or will there be a way to reverse the coin back to its original wallet, if so then the purpose of the blockchain have been annulled because the blockchain was built to be decentralized.

The easiest lending can be done through automated collateral. You have a coin that you don't want to convert to fiat or to another altcoin but you want to invest in a project that you are sure will bring you profit. You use the collateral to get an automated loan that will give ownership of the collateral to the lender after a certain amount of time.

[aeternity]

Now smart contract uses oracles to get data from the real world, like current time.
But it is possible to invent a blockchain which can do this. Maybe it exists already.
Does anyone know about such a project?

Hello,

Yes - that blockchain exists already - check out æternity

æternity is a scalable smart contract platform that has state channels and oracles integrated on a protocol level (layer 1).

You can find some more details about oracles in general and which projects use them HERE.

Let us know if you need more info,
The AE Team

[maxitdev]

Thank you. That sounds good. I will first visit your site and read what you send me.