DEPO Network: A fully decentralized Infrastructure for P2P lending using Digital Currencies

Access to internet is fuelling innovation and development of new idea while already existing inventions are being improved upon. Rapid growth of internet has led to the creation of a new currency popularly refers to as the Digital Currency. The existence of digital currency has pave way for fast, efficient and reliable transactions compare to the traditional currency popularly refers to as fiat. Today the digital currencies available on the internet fall into some major categories which include;

• Cryptocurrencies 
• Tokens 
• Asset Tokens 
• Tokenized shares 
• Digital bonds

According to DEPO (2018), Digital currency is defined as something that exists in a binary format. The existence of blockchain technology ‘which is the underlying technology through which these digital technologies relying on’ have shown how important the digital currencies are. Blockchain technology has continued to disrupt so many industries by offering reliability, transparency and low cost. As a result of their endless advantages, digital currency has witness increase in trading volume globally. This is a clear indication that global digitization of economy using blockchain is near and fast approaching.

In order to enable the development of blockchain infrastructure for digital asset, Depository Network is providing a completely decentralized, safe and secure infrastructure for collateral assets through which digital asset can be used as a form of collateral. Despite the rapid growth in usability of digital assets, they remain shunned in local financial institutions.

Depository Network will assist in creation of collateral system throw which owner of digital assets supported by DEPO Network will be able to pledge as collateral and also accept loan from lending institutions. Also financial institutions that is ready to lend and receive digital asset as collateral can create their Depository on the Depository network.

Depository Network have many advantages which include elimination of needless state-owned, decentralized depository and it also give opportunity for financial institution to be able to build independent depositories within the system.

DEPO Network is very secure as the cryptographs are secure through adoption of multi signature wallets to store asset and also smart contract for execution of transactions. There are mainly three key holders whose signature is required before transaction can be performed. These include the borrower that own the asset, the lender that will receive digital asset as collateral and also the DEPO. This will alone none of the party to act on its own discretion without the others. Two type of collateral smart contracts will be available. First is the DEPO Smart contract which will need no middleman. DEPO smart contract will be integrated with API of the Lender which will only be initiated through events that include making of payment, missed payment and finally during termination of contract. DEPO Escrow contract is the second smart contract which is locked with at least three signatures. 

In order to further explain how depository network work, Lender that is ready to accept digital asset as a collateral will visit DEPO and setup and setup a depository platform (keep in mind that lender can be individual or financial institutions such as banks). When the depository is setup, the lender will define fully the term for acceptance of the collateral and offer loan to borrower. The borrower will then need to sign a form of agreement with lender which he will then proceeded by creating a wallet in DEPO network and digital asset will be deposited by the borrower. The deposited collateral will be secure by multi-signature which will be hold by the borrower, lender and DEPO. Ones this is done the smart contract will be activated and the borrower will receive fiat from the lender and when the contract end, the smart contract will release collateral for the borrower. For DEPO Escrow contract, the lender or the DEPO will sign and release the collateral for the borrower when the contract ends. For further information about DEPO kindly visit the website  https://depository.network/ or download the whitepaper here http://depository.network/wp-content/uploads/whitepaper.pdf

Token sale is currently live. Information about the token is provided in the table below

 

To participate in the token sale you will need to create an account by clicking on buy button on the website or through this link https://ico.depository.network/user/login# investors can

contribute using Bitcoin, Litecoin, Ethereum and Bitcoin cash. Investors from USA, Canada and China are prohibited from participating in the token sales.

This Article is written by

Thesmallgod

Bountyhive