Blockchain-based loans — Trittium has you covered
Blockchain as we know it is a revolutionary piece of software that has been able to help hundreds, maybe even thousands of business across the world change and improve their business model and structure. For those of you who aren’t aware of what blockchain is, it is a decentralized, distributed and public digital ledger and it is used to store transactions across large networks, and in doing so it means that the data it stores cannot be altered retroactively without the change of the entire network, which would take a huge amount of work. People who use the blockchain network can easily verify and audit transactions quite cheaply compared to other methods. A blockchain can be considered as a database and this database is managed autonomously using a peer-to-peer network, and the data held within it can be authenticated by mass collaboration.
The blockchain structure and how it operates has undoubtedly had a positive impact, especially when it comes to the rise of cryptocurrencies as it is primarily known because of that. Companies like Walmart, IBM, Microsoft and Expedia are all seeing the benefits of what blockchain technology can offer, and Trittium is no stranger either. In fact Trittium have designed a whole company around this technology to help make loans more affordable and special community loans at a stable price. Where other loan companies operate from a centralized point of view, Trittium operates from a decentralized point of view which enables the company to make sure that the project delivers what was promised, and in this case it is cheaper loans.
Trittium is ushering in a new era of secured loans by completely ignoring the way things are handled now, by developing a platform that ultimately changes the loan issuing industry by implementing blockchain technology. You see, the old and outdated loan companies have an entire set of redundant hoops that an applicant has to jump through in order to be considered for a loan, and they are required to disclose a hoard of information about their current financial situation among other things. Loan companies judge whether a person is suitable to be taking out a loan by primarily looking at his or her assets and expected future earnings. But imagine if there was a way to secure a loan without being interrogated and being judged on your credit score.
Trittium’s solution to this problem is to use blockchain assets as collateral and since these assets can be divided and are liquid, it means that if an applicant accidentely misses a repayment then a small portion of their assets can be sold in order to bring the balance forward. Trittium’s business model alleviates a lot of the pressure that most people go through when they take out a loan, and gives people more freedom when choosing their loan as well as paying it back, because one of the main problem areas that people run into with a loan is a change in circumstance like a redundancy. If someone can’t pay back a loan then they run into trouble but since Trittium is blockchain-based, users don’t have to worry about their house or possessions being repossessed.
Originally published at medium.com on June 12, 2018.