The world’s first crypto-pawn platform DeFi For You is launching a peer-to-peer lending platform that allows users to stake crypto-assets and NFTs (non-fungible tokens) as collateral for loans.
The launch comes after a wave of investment totaling more than 100 billion USD into decentralized finance (DeFi) protocols.
DeFi protocols have so far focused on lending, debit cards, and insurance. Peer-to-peer lending is relatively untapped in the space and has the potential to allow individual investors to offer financial services to their peers.
DeFi For You has also partnered with Cotswold Fine Jewelry Group to allow pawning valuables for loans in cryptocurrency.
“Pawning is the oldest known financial service and an industry worth billions worldwide,” says founder Adam Chaplin. “DeFi For You is bringing this tried and tested collateralized loan economy to the Binance blockchain.”
Chaplin was also a co-founder of the crypto travel website Travala.com. The blockchain-based service lets users booking flights, hotels, and activities using fiat currency or crypto-assets.
This is pawn broking’s debut in the world of blockchain and it’s already being met with a lot of excitement within the 100 billion USD DeFi space.
“No one has ever brought pawn-broking to the blockchain before,” says Chaplin. “We know it’s going to be huge. People will be able to get a crypto loan without even needing a bank account.”
Peer-to-peer lending isn’t new, but crypto-pawn is world-first that could send ripples throughout the space.
DeFi For You was incorporated in the UK in January 2021 after a successful ‘IDO’ (initial DeFi offering) that raised close to 10 million USD. The crypto asset has a market capitalization of more than 60 million USD.
The total value locked into DeFi protocols now exceeds 100 billion USD and doesn’t appear to be slowing down.
(Photo : DeFi For You)