The discussion started last year and quickly laid out some of the major problems that exist with attempting to lend/borrow crypto. This lead me to investigate and research until i came up with a working app. I present to you BlockWorkz Credit Market. The first app of the platform.
The app caters to users who wish to either borrow or lend crypto-currencies by solving the problems faced in lending/borrowing cryptocurrencies :-
1) Collection of Collateral and Capital
2) Agreement and adherence to terms
3) Minimizing individual/institutional risk
4) Verification of debtor/creditor's identity
5) Conflict Resolution
These issues are complex and have no single solution so their solutions are built into a process. The actual process is simple yet intuitive and flexible depending on the user's requirements. The process is as follows :
User specifies :-
- The Collateral they have
- How much of which currency they wish to borrow
- The interest rate they will apply at repayment
- The period of time their request is valid, and finally
- The amount of time the loan takes to mature.
If it meets the minimums the collateral is immediately reserved and a request will be posted for all users to see. Potential creditors can now view and assess the request and if they find the terms to be acceptable they can proceed to fund the request. This immediately solves the sourcing of capital and collateral as well as adherence to terms. As this is a market, users are free to select the deal that provides the best terms for them and leading to profitable business. Unlike other platforms, the BlockWorkz Credit Market leaves terms to be agreed upon by users thereby allowing diversity of creditors/debtors and options for all participants. To minimize the risk to creditors and protect users the market engine enforces a set of simple rules:
1) A request's validity may not exceed two months
2) Each request must be funded by at least 4 users, ie a user may only fund a maximum of 25% of a request
3) A request may have a maximum of 100 creditors, ie a user may only fund a minimum of 1% of a request
4) A user my only fund a request once.
5) A tier system that limits the amount that can be borrowed and how many active requests a user can have
6) A user with a current loan that is delinquent or in default may not borrow or even withdraw funds.
7) Flagged users cannot borrow. Banned users are ... banned.
As each individual/institution has different means and different needs, the app requires only that a user requesting funds put up whatever supported collateral they wish to use.
Once a loan matures, debtor has 24 hours to repay or risk default, repayment is immediately deposited + interest into lender accounts, late payment results in user account being flagged. In the event of default, collateral is deposited into lender accounts, and the user is banned. This ban applies across all apps. Within the system there is a credit tracker, this applies not only to the Credit Market but to all apps, it essentially add/subtracts points based on a users activity. This means that financially sound decisions will result in higher ranking. Full perks of higher rankings are being worked out but some may include a highlight to your requests marking them as recommended, potentially cashing out points gained for actual crypto currency etc. The point is it pays to be a good , reliable user of the platform. This takes care of conflict resolution
Another advantage of spreading the risk/profit to multiple users is that it enables users with smaller pools of funds participation as well as allowing funding for larger requests.
A potential step forward would be to enable users to borrow fiat, but based on current trends this would require rigorous KYC/AML and as such is included within the app structure but not activated as there is first a need to consult with legal experts.
The
www.blockworkz.co] BlockWorkz Credit Market and is now open for alpha testing. If you are interested, please visit and register, your account will be credited dummy funds for you to try out. After the alpha testing period, feedback from users will be applied as much of it as possible then go on to beta testing. Hopefully a full functional release will be available for widespread use in a month or two. Please
do not deposit any funds, use the dummy funds. As additional precaution, coin wallets will be offline. Feel free to mail us on
blockworkz@protonmail.com or
admin@blockworkz.coActive alpha and beta testers will be rewarded with free tokens at official launch. They'll find their accounts pre-credited at launch.
BlockWorkz ArbitrageInitial Idea:-
Arbitrage (Coming Soon) Previously developed as a stand alone app, the code has evolved to be better used as a web app.
How does it work ? The app dynamically finds similar trading pairs of supported currencies on exchanges, finds arbitrage opportunities and trades for the user.
To use the app,
1) Deposit funds for the currencies you wish to trade
2) Select trading options such as amounts per trade, margin and algorithm.
3) Select back out position and payout addresses for profit.
4) Enable app.
Once your funds are confirmed, the app starts an instance of the trader specifically trading your funds.
BlockWorkz Currency (WRZ) BlockWorkz has a crypto-currency (WRZ) with it's own wallet. The Wallet serves as the primary way to generate, store and transact using WRZ. WRZ underpins the Blockworkz ecosystem. And is used to bootstrap app development and adoption.
Axiom PoW Algorithm
PoSv3 PoS Algorithm
1 minute block time
PoW Block Reward: 5 WRZ
PoW Blocks = 2000
Stake Minimum Age: 4 hours
Stake Reward : ~ 22% per year (assuming 100% wallet uptime)
Masternode Cost : 500 WRZ
Masternode subsidy : 35%
Required Confirmations: 10, Coin Maturity: 25 Blocks
21 Million Max Coins
4 Million OTC Token Sale
250K for Advertising and Media
250K for Social Campaigns
Social Media
Twitter :-
Blockworkz