Analysis of EthLend – Democratizing Lending - Crush Crypto

Analysis of EthLend – Democratizing Lending


  • Project name: EthLend
  • Token symbol: LEND
  • Website:
  • White paper:
  • Hard cap: 37,600 Ether (public crowdsale ICO contributors own 77% of total token supply if hard cap is reached)
  • Conversion rate: 1 Ether = 25,000 LEND
  • Maximum market cap at ICO on a fully diluted basis: US$18 million assuming current Ether price of $360
  • Bonus structure: 1 Ether = 27,500 LEND for the first 200 million LEND, 1 Ether = 26,250 LEND for the next 100 million LEND
  • Presale or white list: Whitelist registration ongoing at, presale (6% of total LEND sold at conversion rate of 1 Ether = 30,000 LEND) is over
  • ERC-20 Token: Yes
  • Timeline: November 25 at 12 PM GMT (please refer to EthLend’s website for the most up-to-date information)
  • Token distribution date: Tokens are distributed immediately after contribution and will be tradable after the end of ICO
Video summary (video is 8:26 long):

Project Overview

What does the company/project do?

EthLend aims to enable decentralized lending globally by allowing crypto to crypto borrowing. All borrowings will be secured by cryptocurrency, including ENS domains, as collateral.

Everything is done through smart contracts so that the whole process can be done in a trustless and transparent fashion. Interest rates, premium and conditions are solely decided by the participants.

Sample use cases include:

  • Participating in ICOs by borrowing Ether using a user’s existing cryptocurrency holding.
  • Margin trading by increasing leverage.
  • Financing for blockchain startups for ICO marketing by pledging ICO tokens.
  • Unleashing the Ether locked in ENS domains.

EthLend allows crypto-pegged (return the same amount of cryptocurrency) and fiat-pegged (price of cryptocurrency in fiat is used for the loan value) loans depending on the users’ needs.

How advanced is the project?

Alpha is live on the mainnet since 2017 Q2. You can check out the dApp here (Metamask needed). Here is a video demo of the platform (video is 8:09 long):

Below is the future roadmap of the project:

2017 Q4

  • USD Based Loans and Installments

2018 Q1

  • On-Demand and Crowd Lending (Loan Offers from Lenders)
  • User Experience Upgrade 
  • Decentralized Credit Rating (DCR)

2018 Q2

  • Penalties for Late Payment 
  • Lending Bitcoin
  • LEND tokens accepted as payment with 25% discount on fees
  • Gateway for Decentralized Providers (uPort, Civic) to DCR 
  • Oracles: Centralized feeds to DCR

2018 Q3

  • Second User Experience Upgrade 
  • Protocol to enable AI and Big Data to assess Credit Risk 
  • Revenue scheme for AI Credit Risk bot creators

2018 Q4

  • Prediction Market to Assess Credit Risk
  • Lending Other Altcoins and tokens

2019 and beyond

  • Protocol to Enable Insurance Policies (with AI bots) 
  • Sophisticated collateral control (Calling & Liquidating the collateral) 
  • Competitive bidding on interest rate between lenders 
  • Expanding Decentralized Lending and Decentralized Credit Rating beyond Ethereum network
What are the tokens used for and how can token value appreciate?

There are a few uses for LEND tokens:

Discount on fees on the platform: LEND token holders will receive 25% reduction on platform fees (loan request fee and loan funding fee) compared to paying with ETH.

Rewarding active lenders and borrowers with airdrops: ETHLend will use 20% of the decentralized application fees to purchase LEND tokens from the market and airdrop the tokens to all the lenders and borrowers on ETHLend, based on the previous period’s volume.

Certain functions are accessible only with LEND tokens: ETHLend will provide functions that are only accessible with the use of LEND tokens. These featured functions will include featured loan listings and email marketing campaign for new loan requests.

Rewarding Introducers: ETHLend will purchase additional amount of LEND tokens to reward lenders and borrowers or third parties who introduce new participants on to the decentralized lending platform.

As (1) LEND tokens are used to perform different actions and to receive discounted fees, and (2) 20% of the fees generated by the platform will be used to purchase LEND tokens on the market, the more usage and volume the platform has, the more valuable LEND tokens should be.

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EthLend has a large team of 27, most of whom we believe work on a part-time basis.

The bios of the key members of the team are listed below:

Stani Kulechov, Founder – Studying Master’s Degree in Law at University of Helsinki. Trainee at Bird & Bird.

Jordan Lazaro Gustave, Head of Management – Co-founder of TextFugees.

Martin Wichmann, Head Of Token Sale – Chief Blockchain Officer of Global Blockchain Capital, former Head of Nordics of Blockpay.

Anthony Akentiev, Blockchain Developer – Founder & CEO of, a blockchain consulting company, former Founder & CTO of Adaperio.

Advisers of the project include Jon Matonis, Founding Director of Bitcoin Foundation and a veteran in the Findtech space, Wulf Kaal, Associate Professor at University of St. Thomas School of Law, Ada Jonuse, Co-founder and CEO of Lympo, Amin Rafiee, blockchain consultant, Robert Viglione, Co-founder of ZenCash, and Tomoaki Sato, Founder & Blockchain engineer at 


  • The alpha platform is live and users have been borrowing and lending on the platform already. This shows the team’s execution capability.
  • The biggest use case in the beginning is probably for margin trading. With the amount of speculation in crypto investing and the growing popularity of cryptocurrency, EthLend is in a good position to gain traction.
  • We believe there will be tokenization of different assets (real estate, shares, intellectual property, etc.) in the future, which makes the use cases of EthLend much broader than it is now. For example, users will be able to refinance their properties on EthLend if those assets can be tokenized.
  • For cryptocurrency holders, they can earn additional income by lending their holdings out. The default risk is mitigated as long as the loan is fully collateralized.


  • The platform only deals with crypto-to-crypto borrowings, so it is not as convenient for people who want a loan in fiat compared to other blockchain projects that provide crypto-to-fiat or fiat-to-fiat lending. However, it also means that there will be less regulation restrictions for ETHLend compared to other projects.
  • The team members are mostly on the younger side and do not seem to have relevant experience in the lending space.
  • The ICO is only available through the Eidoo platform, so users will need to download and fund the Eidoo wallet before contributing to the ICO.


Overall, we like this ICO both for its short- and long-term potential. Our thoughts of the tokens for short term and long term are as follows:

For ​short-term holding

Good. The market currently likes low cap projects and we believe EthLend is one of the more promising projects with the working alpha on the mainnet and high market awareness. The 6% tokens sold with 20% bonus should not have much impact to the overall structure.

Judging from what happened to Oracles Network in the previous week, we believe EthLend will have no problem selling out with unmet demand.

For long-term holding

Good. While the use cases may look limited for now because EthLend is a crypto-to-crypto platform, we believe as tokenization of real assets becomes more prevalent in future, EthLend has a good chance to become a market leader in this space.

Combine that with the low market cap, we believe EthLend is a good long-term holding if the team can execute well.

For more information about the ICO, please visit the following links:



Live dApp: 


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