Global Lending Protocol & Crypto Products
We have recently worked closely with BLOCKLOAN to refine the utility and ecosystem behind the BLL coin. For an in-depth report on the BLOCKLOAN platform and the BLL coin, click here.
BLOCKLOAN and the BLL Token — Summary
BLOCKLOAN Incentivizes Adoption, Referral, and Staking of BLL Tokens
BLOCKLOAN, positioning itself as the preeminent blockchain credit infrastructure for consumer lending and margin lending combined with a robust Token Economy, has created an ecosystem that incentivizes exchanges, community groups and users to refer new users, reward customers for staking and using BLL tokens through fee discounts and encourages early adoption of the platform. The BLL token provides an opportunity for investors to benefit from the disruption of the multi-billion dollar P2P marketplace lending industry and multi-trillion dollar margin lending industry.
BLOCKLOAN seeks to use the BLL token and the BLOCKLOAN Platform to solve credit issues globally by creating a more equitable model for lenders and brokers to bid on the right to meet consumer loan needs.
BLOCKLOAN plans to launch in late 2018 / early 2019 with debit card & wallet products with margin lending services planned for 2H2019. The BLOCKLOAN token BLL has been designed to be a utility token which rewards users for staking BLL tokens while incentivizing exchanges and partners to refer customers.
BLOCKLOAN is Well Positioned to Become a Key Leader in the Global P2P Lending Market
BLOCKLOAN leverages the Stellar Network and Hyperledger Fabric technology, which allows it to effectively tackle most of the major concerns associated with incumbent financial servicesplatforms serving the community — ie. high transaction costs, operational inefficiencies, mistrust of the financial system, and lack of transparency.
BLOCKLOAN is developing a bank-as-a-platform model which will provide P2P lenders a platform from which they can offer a suite of loan solutions to consumers in an efficient manner both from an operational and cost perspective.
In addition, BLOCKLOAN’s margin lending protocol will offer both listed equity exchanges as well as cryptocurrency exchanges the ability to offer a global margin lending standard to their user bases delivering additional product solutions in the most efficient manner possible.
Notably, as the Company operates on a B2B model, they are differentiated from existing P2P lending platforms in that BLOCKLOAN is enabling P2P platforms with blockchain technology rather than competing head-on against them for customers.
Considering the prevalence of P2P platforms and the Company’s strong traction (having already inked partnerships with P2P firms LODEX and FIVESQUID), we see no reason why the Company’s platform can’t succeed as it onboards more P2P clients onto its platform.
Token Burning & Staking System is Key to Long-Term Value
In order to drive long term token value, BLOCKLOAN is employing token burning and staking mechanisms on its platform. This directly links platform usage growth to token value (i.e. the more customers use services on the platform, the more tokens are burned / staked).
Staking tokens, while not required, provides users discounts on the platform thereby incentivizing them to adopt and retain a minimum BLL balance on their wallet.
This has the effect of reducing the ecosystem’s token velocity as staked BLL tokens are not being used on the platform. Furthermore, token burning is employed using Margin Lending fees, which will reduce the overall amount of BLL in the market. This has the effect of reducing token supply as the usage demand rises over time from platform growth, which all else equal, should result in sustainable rising token prices.
Subject to management achieving its growth forecasts, we estimate that the BLL token can reach a price of $3.34 by FY2023 — up from its planned listing price of $0.20. Key to this are the token burning and staking mechanisms as well as increasing adoption and usage of BLL from BLOCKLOAN’s incentive and reward strategy.
Hybrid Token Utility, Mode of Payment
Token Name BLL Coin
Token Type ERC20
Total Token Supply 250M
Token for Sale 175M