Depository Network Releases First Prototype
Depository Network makes the first steps towards enabling lenders to use cryptocurrency as loan collateral.
This PR was initially published by CCN here.
SOFIA, BULGARIA (July 27, 2018) — Depository Network (DEPO) has released proof-of-concept showing how the depository will work for lending institutions looking to enter the modern financial markets. Following a similar model as traditional depository services, DEPO has made it a priority to provide lenders the freedom to accept digital assets as loan collateral.
The prototype demonstrates how the platform will operate for lenders, clients and arbiters in case of disputes.
What is DEPO?
Depository Network DEPO is a digital platform, through which lenders worldwide could start accepting blockchain assets as a guarantee for loans.
The prototype demonstrates the principle under which DEPO allows the blockchain asset to be locked in multisignature wallet, which is under the control of DEPO. Neither the creditor nor the debtor could touch the asset without the approval of DEPO. Lenders who are users of DEPO infrastructure can model their unique depository and set loan conditions, all of which are set in the smart contract.
How is DEPO different?
DEPO aims to provide through its depository infrastructure an integrated set of services to P2P lending platforms, banks, credit institutions and borrowers. The platform shall provide not only independent multisignature wallet technology for locking the assets and thus safeguarding the collateral, but also secure and independent enforcement procedure in case of non-performance by the debtor, giving equal protection of creditors’ and debtors’ rights. Last but not least it shall secure arbitrage interaction for fast and legitimate case settlement.
With this new development, DEPO has made it possible for lenders worldwide to become a part of the lucrative cryptocurrency market.