The P2P Lending feature — “Vlending” and its utilities

Peer-to-peer lending method is increasingly popular in the economy in general and the simulated digital economy particularly. With practical benefits, Vlending app is said to gradually change the financial habits of Vconomics users and explode in near future.

1. What is Vlending?

Vlending is a form of peer-to-peer (P2P) lending in a Vconomics — Decentralized Digital Economy. This feature provides unsecured loans like banks and financial institutions. The only difference is that the appraisal process is conducted directly by users without intermediaries like banks. Based on the credit score measured by the Vscore, people has the fundamental information to consider before deciding to make transactions. In addition, users have the right to choose a lending partner on P2P platform and track their profits online.

Blockchain technology, Big Data and AI will directly participate in the peer-to-peer lending process of Vconomics users. A virtual institution named “Vlending” analyses, evaluates and controls customer information. Simply put, Vlending will connect people with financial needs. Users can verify information of partners quickly and efficiently, at the same time reduce intermediary costs requires by traditional lending.

2. Features of Vlending

2.1. An alternative to usury

Usury has been distorting the economy in general, including the digital economy. They use different tactics to trick consumers into borrowing money with unreasonably high interest rates, which affects the trust of people in financial services.

In the decentralized digital economy, usury still exists, but in a nimble in a subtle way which confuses users when lending or borrowing. However, with Vlending, all of the above problems will be solved quickly and easily.

Vlending with public policies, terms and conditions on interest rates and costs in a transparent and detailed way. Borrowers will be recommended with loan packages with proper interest rate. Lenders also have the opportunity to find potential customers by looking up credit scores on Vscore. Credit scores published on the system are the basis for creating trust among trading partners, it minimizes the negative impacts of usury on the digital economy.

2.2. Empower users

In the digital age, applying technology to business practices will help investors get more profits and increase the value of the cryptocurrencies they own. To do that, they are required to participate in NFT commodity trading or lending digital assets (crypto) with interest rates listed at digital banks. With Vlending peer-to-peer lending, users will be empowered to actively participate in financial transactions online. All operations will be done voluntarily, transparently, safely and in compliance with the general regulations of the Vconomics economy.

The benefits of a peer-to-peer (P2P) network in cryptocurrency transactions are also illustrated by the fact that users will not be controlled by a supervisory authority or organization. Even if a part of the blockchain system stops, the Vconomics ecosystem continues its flow without being affected. Thus, the anti-centralization of transaction rights Vlending brings great benefits.

2.3 Suitable for small loans

According to World Bank, 79% of people find it difficult or impossible to access formal financial services. It is also difficult for banks to support microfinance services because of high operating costs or insufficient network and human resources. However, with Vending, users can make small loans online. The micro loans not only meet people’s needs in the field of business finance but also solve the dilemma of market supply and demand.

2.4. Flexible terms of loan

Vlending allows users to choose loan packages with flexible terms that is suitable for each person’s financial needs. Borrowers are also free to choose from a variety of amounts, terms and interest rates, which makes Vlending financial system really potential.

2.5. Low service fee, high profit

Imagine you are depositing money in a bank and profiting from annual interest. The bank use your money to lend to others at a higher interest rate. The bank benefit from the difference in interest rates between you and the borrower, along with service costs. On the other hand, with peer-to-peer loans in Vlending, you can make much more profit thanks to higher lending rates without service costs attached.

Vlending will act as a financial company in the Vconomics — Decentralized Digital Economy. It reduces the service fees and creates high profits for both sides of the transaction.

2.6. Time saving

With Blockchain, Data and AI technology, Vlending is capable of handling customer requests quickly and minimizes the risk of system congestion, server crash or connection failure. The programs made by this feature will be the premise for cryptocurrency circulation, which helps users enjoy the professional Vconomics ecosystem.

2.7. Security

Vlending’s P2P network ensures privacy for individuals participating in transactions. All customer information is encrypted and saved on Vscore system, controlled by BigData data and Artificial Intelligence. As a result, the cost of customer information appraisal will be minimized, which improves the utility for users.

Peer-to-peer loans are based on a credit rating system of Vscore credit score), so they are suitable for unsecured lending. If you build long-term trust with your investment partners, there can be MICS loans with longer terms. If you go against the principles of unsecured loans, it is only a matter of time before you are eliminated from the Vlending financial system.

3. In conclusion

Vlending is the perfect financial tool for users in the Vconomics ecosystem. With many outstanding advantages, peer-to-peer lending Vlending will change the financial usage habits of the majority of Vietnamese people and promise a strong boom in the near future.