HALO Network
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HALO Network

HALO Lending: What To Expect

DeFi changed the world in more ways than we can imagine. Traditional finance might have held sway since the beginning of time, but it continuously rested on its oars. This led to the same archaic practice, zero concern about making user-friendly services, and an overbearing arrogance in the rigidity of financial services.

One financial product that DeFi dApps completely demystified is lending. While traditional finance institutions introduced measures that made lending cumbersome and unattractive to borrowers, DeFi is taking a more proactive step towards inclusivity. These digital platforms make it easy for borrowers to access loans without much fuss — an experience that’s not obtainable with traditional finance outfits.

What Is HALO Lending?

HALO Network is one blockchain that’s going all out for DeFi. In HALO Lending, the distributed ledger has a worthy lending platform, providing users with easy access to loans.

This financial product differs in how it offers lending. HALO Lending relies on good liquidity pools to provide loans to borrowers.

The Mechanics Of HALO Lending

HALO Network’s devotion to building on the existing progress of the DeFi space led to the rise of HALO Lending. The mechanics of this financial product differs in many ways from what’s currently practiced elsewhere. Here’s the breakdown of HALO Lending:

Decentralized Lending

In HALO Lending, lenders and borrowers interact with the lending liquidity pools through smart contracts. This supports decentralized lending as stakeholders don’t report to a central body, which might be hoodwinked or bought.

Pledge Lending

One of the reasons why this financial product stands out is its pledge lending approach. Borrowers have to pledge borrowed funds, which will be voted on before they have access to the funds. This additional security layer curbs issues of flash loans and other breaches that have now become commonplace with lending platforms.

Collateral Needed

HALO Lending requires borrowers to provide collateral before they can get access to HALO loans. To prevent the system from being short-changed, the collateral provided has to be more valuable than the loan requested. If a borrower fails to pay back the loan and the value of the collateral falls to a certain point, it’s liquidated to pay off the loan.

Since HALO Lending operates in a decentralized manner, requesting some collateral before a user can borrow funds is one way the financial product is shielded from the activities of unscrupulous users.

The Loan To Value Ratio Is key

Besides relying on smart contracts and collateral requests to keep the lending pool safe, HALO Lending also uses the loan to value (LTV) ratio metric to judge the risk of a loan, especially when the collateral drops in value.

The LTV ratio is one of the many firsts you’d see on HALO Lending, all aimed at delivering loans conveniently and safely.

Distinct Interest Rates

On HALO Lending, borrowers are afforded two different borrowing rates — fixed and variable — so they can decide what works for them. Lots of factors decide the variable rate, so borrowers might want to think twice when borrowing.

Expectations For HALO Lending

Borrowers can expect a lot from the launch of HALO Lending. If the financial product lives up to its ‘blockchain bank’ claim, then we might as well start cheering.

HALO Lending will rely on HALO Network’s infrastructure to deliver decentralized lending. With the blockchain catering to everything DeFi, it doesn’t get any better than this for HALO Lending. The financial product, fueled by HALO Network DeFi support, will serve more users without the issues that plague lending protocols.

This lending service is expected to cover different forms of lending needs, ranging from consumer lending to loans for projects. It’s not limited to the trading appetite that’s common among borrowers in the crypto space.

Not every lender will have the opportunity to lend on HALO Lending. Most might miss out since they have to meet certain criteria and pass the vote from the DAO. Yes, you read that right, lending bids are subject to a voting round. This promotes community power while ensuring the lending service is truly decentralized.

The DeFi space is still in its infancy. A lot of grey areas abound, making it extremely risky. The growing number of flash loans and exploits is proof of the enormity of the risk involved. HALO Lending attempts to reduce the risk on users of the financial product through risk control measures like the creation of an insurance fund. This way, if any lender loses in the event of an exploit, compensations shouldn’t be an uphill task.


HALO Lending is a financial product offered on HALO Network. Through this service, lenders and borrowers can transact effortlessly. It’s such a novelty that will revolutionize lending as we know it. Fingers crossed HALO Lending delivers the goods.

Follow HALO Network and stay up-to-date:

🔘 Official Website: https://halo.land

🔘 Telegram Group: https://t.me/HALONetwork

🔘 Telegram Channel: https://t.me/HALONetwork_news

🔘 Twitter: https://twitter.com/network_halo

🔘 Medium: https://halonetwork.medium.com

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🔘 Discord: https://discord.gg/7rMEbWzacd



HALO Network is an efficient blockchain network system. It provides one-stop integration of DeFi application level with decentralized, energy efficient and low-cost transaction structure with traditional financial instruments.

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