ETHLend provides secured lending with the use of ERC-20 compatible tokens as a collateral. For example, users with a token portfolio are not required to sell the tokens to receive liquidity. Instead, the user can pledge the tokens to receive more liquidity. Alternatively, Ethereum Name Service (ENS) domains can be used to secure loans since these domain locks Ether when the domain is paid.
Ethlend‘s major traffic comes from united states according to Alexa. The Ethlend domain, Ethlend.io was registered by Stanislav Kulechov on the 18th day of May, 2017.
According to an Ethlend’s whitepaper, “ETHLend.io introduces decentralized lending on Ethereum network by using ERC-20 compatible tokens or Ethereum Name Service (ENS) domains as a collateral. ETHLend solves the problem on reducing the loss of loan capital on default. On healthy loan relationships the loan is paid back. However, the pseudo-anonymous nature of Ethereum blockchain network opens the possibility to avoid repayment of the loan since the lender might not have all the necessary details of the borrower to enforce the debt in the borrower’s jurisdiction. Moreover, enforcement in a decentralized environment, where the parties can be from any part of the world, might not be efficient. ETHLend provides decentralized solutions to avoid loss of capital and to make one true global lending market available.
Benefits of Decentralized Lending
Decentralization provides more security and trust by design. Decentralization is a method to organise anything in a way that does not require trust on third parties. The trust is eliminated by executing code that does not require central government, management or central servers.