In this article let us see how the work flow for p2p lending and borrowing operates on Btccredit platform.

The user first registers and logs in to the dashboard of his newly created account on Btccredit. He can either be a Lender or a Borrower, For the user to be a Lender or a Borrower, he needs three

Wallets — USDT, Ethereum and BTC- there is inbuilt wallet of these coins in the platform.

State 1.0 of the System:

● Lender’s USDT Wallet — 10000

● Lender’s Ethereum Wallet — 10000 LDTs

● Lender’s BTC wallet — 0 BTC

● Borrower’s USDT Wallet — 0

● Borrower’s Ethereum Wallet — 0

● Borrower’s BTC wallet — 0 BTC

The Lender can:

Place entire 10000 as a loan offer.

Place partial loan offers amounting to 5000, 3000, 1000, etc.

These orders may have different rates of interest and duration.

The borrower can accept one of the orders placed by the lender or he can raise his own bid according to his rate of interest acceptance and duration.

Assuming that the borrower accepts the ask of the lender, he has to deposit BTC as collateral, so the the user will be redirected to the BTC wallet. When the Borrower and the Lender accept on a deal.

Following will be the Inputs for the contract and pushed to an Ethereum smart contract:

a) Amount — 10000 LDT

b) Loan Tenure — 10 Months = 300 Days

c) Installment Tenure — Every 30 Days

d) Interest — 1% — Considered in installment Pay — 1010 LTD

e) Admin Fees — 0.15% Deducted upfront 10000-(10000*0.15%*10) = 9850 LDT

f) Lenders Identity — Lenders Address

g) Borrower’s Identity — Borrowers Address

h) Admins Identity — Admins Address.

i) Pre Closure Fees — 5%

j) Pre Closure Duration — 3 Consecutive Paid installment.

j) Installment Delay acceptance days — 3 Days

k) Fine For installment Delay — 1%

l) Terminate contract from Borrowers End — 3 Consecutive installments Missed.

m) Collateral info — BTC amount.

Now the borrower will deposit BTC of an equivalent amount as USDT as collateral. Once the deposit is detected, the above contract is deployed.

State 1.1 of the System:

Now the handshake of the order between the lender and the borrower is of 10000 USDT but the borrower will not receive Ethereum tokens worth 10000 USDT.

He will receive 10000-(10000*0.15%*10) = 9850 LDT Token and the USDT wallet of the borrower will

be credited virtually with 9850 USDT.

Here — 0.15% (per month) is the admin fees

10000 is the lending amount

10 is the duration in months we have to take it in days.

1% Interest

Installment Tenure — 30 days.

Now:

Lender USDT Wallet — 0

Lender Ethereum Wallet — 0

Lender BTC wallet — 0 BTC

Borrowers USDT Wallet — 9750 USDT

Borrowers Ethereum Wallet — 9750 LDT

Borrowers BTC wallet — 1 BTC

When the borrower receives USDT in his wallet he can withdraw these USDT to external Wallets to fund his loan requirements.

This was the step by step guide to help you understand how one can lend or borrow on our platform. To know more or ask queries, you can visit us at: