Yodaplus Lending Pool is a decentralized investment pool built on top of the core capabilities of the Yodaplus tokenization platform. It is a Whitelabel product that can be used by fintech companies, banks, and other financial institutions looking to extend their collective investment capabilities to the blockchain world. Firms can use this product to tap into on-chain liquidity to invest in the asset-backed tokens on the XDC network and distribute the investment returns to the investors in a seamless, transparent, and decentralized fashion, all driven by open source smart contracts. The Lending Pool mobilizes assets from investors by issuing investment tokens that follow the automated DVP settlement process. The funds thus raised by the pool are deployed in the asset-backed tokens in a decentralized fashion. The Lending pool assets are fully secured in the smart contract and are issued and redeemed(on maturity) at the Pool NAV. The Pool NAV calculation is fully automated on a smart contract, thereby providing complete transparency to the investors.
Yodaplus Lending Pool is fully secured, allowing investors to issue and redeem assets in a transparent manner.
Xinfin Network Community
XinFin is a global open source Hybrid Blockchain platform with independent community contributors. Due to its delegated Proof of Stake consensus algorithm, XDC Network has been able to achieve ultra-fast transaction speed and very low transaction costs.
A decentralized platform that works in peer-to-peer fashion helping trade finance originators in distributing deals to a wide range of bank or non-bank funders. It helps corporate and government treasuries to effectively manage their capital and strengthen their buyer/supplier relationships.
Yodaplus Lending pool allows mutually distrusted users to lend and borrow crypto assets seamlessly. The application features a highly parametric incentive mechanism to help equilibrate the loan market. Sometimes the complex behavior of the lending pool makes it difficult to understand and predict. But, we have made it easy for you to understand.
You get to create HSM (hardware security module) wallets as much as you require. It guarantees a high availability and low execution times. Specifically designed for frequently used wallets.
The custodian wallets come along with the functionalities of multi-tenant architecture. You can create your own instance and isolate them for different clientele. Beneficial for white label providers.
Omnibus accounts could be used with private chain accounting which can allow your customers to avoid paying high network fees. You can do it by making transactions off-chain.
We offer all kinds of smart contracts catering to your specific requirements. It doesn't matter if you use ERC20 or ERC777 - we have it all.
Lending Pool leverages the Yodaplus decentralized tokenization platform to issue the Pool tokens to the investors (secured and unsecured tranches).
Investors can see the details of the lending Pool (investment philosophy, fund management principles, current portfolio, and NAV ) controlled solely by the pool contract (and not any individual or organization). The investments from participants flow into the Lending Pool contract, where the use of the funds is managed in a completely decentralized manner as per the transparent pool policy.
Returns on the pool investment are distributed by the lending pool contract in a transparent way. The Lending pool tokens, therefore, are NAV-based tokens that investors can use to park the excess liquidity to generate yield. Entry and Exit into the pool are at the Pool NAV. (E2E functioning of the pool is modeled on the smart contract to ensure there is full transparency in the pool operations)
The Yodaplus Lending pool solution is a whitelabel solution that allows participants of the trade finance value chain (banks, fintech, originators, borrowers, aggregators ) to offer their lending value proposition on Web3 based solution. This brings the cost of borrowing down for MSME borrowers and provides investors the opportunity to invest in short-term assets that are uncorrelated to the equity markets and have much lower credit risk. In addition, lending pools also use credit insurance from firms ready to provide the FLDG(first loss default guarantee), making it even more secure for investors who invest in a secured tranche of the pool for stable returns.
From the borrower's perspective, it brings the cost of funding significantly down (compared to traditional trade finance through banks and NBFC finance). In addition, it simplifies the operational overheads of the lending process significantly.
From the investor perspective, it opens up a new class of investment-grade instruments to which they never had access. The asset class uncorrelated to the market has very low credit risk. From the economic perspective, it provides financing support to the underserved MSME segment of the economy, which has always been at a disadvantage regarding financing rates for larger corporations, despite having a robust business model. It levels the field for them with their larger counterparts in the economy.
Blockchain is revolutionizing the trade finance business globally, purely on the back of its strengths over the traditional web2 tech stack. It is decentralized and uses cryptographic hashes for documentation security. In addition, it makes enforcing the contract seamless (as it's part of the self-executing smart contract code), brings transparency to the business process, provides ample liquidity and on-off ramp support, and by design, is a technology that is inclusive in nature. Stablecoin regulations that are currently getting tractions across jurisdictions will make this process a much more acceptable way of trade finance compared to traditional trade finance business and will transform the global 15 trillion dollar trade finance industry over the next few years