I was forced to sell the account as the user had defaulted on his loan
Nothing forces you to sell the account. I believe I still have a few accounts that defaulted loans in my possession, and have just accepted it as a loss.
Everyone know that accept collateral as an account is equal to trading account. I can say it's legal way to sell an account.
No. Taking an account as collateral can prevent others from being scammed by that individual while the loan is still active.
dude needs his money, he can't wait for "indefinite period of time", nobody can. he waited for 3 days and then started to sell the account.
your argument is invalid, that lendee could have came straight and informed the lender that he was never going to pay the loan, the lendee could have passed away, there are tons of things that could have happened and the lender would have no way out but to sell the account , that's why it's called a "collateral" - something you pre-plan to sell to repay yourself.
When you lend, you should be aware of risks from defaults. I know for certain that I have an account from early 2017 that I obtained via default, and I'm still holding onto it in hopes of eventual repayment (and because I don't want to sell it)