And while we are at it, can anyone explain to me what is driving the people who are borrowing coins this way? I've been trying to come up with a single reason what's in it for the borrowers, and still can't wrap my head around it. If you have to provide 200% of collateral, how does all that make sense?
Seriously, what's the point?
I think loan serve the purpose of help. Someone might not have money to buy such and can go into loan platform to grow the amount given. It is same as loaning cash IMO to repay back with additional interest.