Libra Credit ICO Review – Decentralized Lending Ecosystem - Crush Crypto

Libra Credit ICO Review – Decentralized Lending Ecosystem


  • Project name: Libra Credit
  • Token symbol: LBA
  • Website:
  • White paper:
  • Hard cap: $26,400,000 ($14.4 million in private sale, $12 million in public sale) for 40% of total tokens
  • Conversion rate: 1 LBA = $0.1
  • Maximum market cap at ICO on a fully diluted basis: $66 million
  • Bonus structure: 20% discount during private round, no bonus for crowdsale
  • Private sale / white list: Whitelist for crowdsale opens now, no presale
  • ERC20 token: Yes
  • Countries excluded: USA, China
  • Timeline: Crowdsale from May 1 to 14, 2018 (please refer to Libra Credit’s website for the most up-to-date information)
  • Token distribution date: 5 days after ICO
Video summary (video is 6:56 long):

Project Overview

What does the company/project do?

Libra Credit is a decentralized lending ecosystem that will facilitate open access to credit based on the Ethereum blockchain. It will be launched with crypto-to-crypto and crypto-to-fiat lending to form an ecosystem that encompasses:

  • In-house proprietary AI-based credit models
  • Customer acquisition & E-wallet partnership
  • Lenders & stable-coin partnership to drive liquidity
  • Extensive exchange partnership network
  • Identity verification partnership network

Libra Credit aims to offer a seamless digital lending process that can be completed in 5 steps: application, verification and credit assessment, confirmation, collateral deposit, and disbursement.

The Libra Credit platform will focus on a dual-credit risk scoring mechanism that considers the creditworthiness of the pledged collateral as well as the credit information of the borrower. Borrowers will be able to pledge any crypto-assets as collateral and receive loans in their desired asset.

Using smart contracts and a proprietary collateral valuation and liquidation system, Libra Credit will lock in agreed terms between borrows, lenders, custodians, guarantors and liquidators.

A diagram representing the Libra Credit ecosystem is shown below:

How advanced is the project?

The idea for Libra Credit was conceptualized in Q4 2017, with the whitepaper released shortly after. The Alpha version of Libra Credit was launched in April 2018.

The projected roadmap for the project is shown below:

Q3 2018 – Libra Credit desktop platform launch for crypto-to-crypto and crypto-to-fiat lending.

Q4 2018 – Libra Credit mobile app launch.

2019 – Planning to launch other digital asset-to-crypto & fiat lending with extended partnership networks.

2020 – Planning to enable digital/financial/physical asset-to-crypto & fiat lending with global partnership networks.

What are the tokens used for and how can token value appreciate?

LBA tokens will serve the following purposes:

Membership – Platform access fee that allows borrowers to submit loan applications.

Transactions – Medium of exchange on the Libra Credit platform, service fees for successful transactions.

Rewards – Token rewards will be granted to stakeholders that contribute to the project through development or referrals.

Governance – LBA token holders will have the right to vote on specific projects and proposals to facilitate platform development.

As the usage of LBA tokens is tied to the level of activities of the Libra Credit platform, the more activities the platform has (in terms of members and loans transacted), the more valuable LBA tokens should be.

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Libra Credit was founded in 2017 and operates out of San Francisco, USA. They are backed by investors such as FBG Capital, GBIC, DHVC, Dekypt Capital, Crypto Parency, and others.

The biographies of key team members are listed below:

Lu Hua, Co-Founder & CEO – Lu has experience in the payments, financing, and risk management industries. He was previously the CEO of moKredit, one of China’s top digital credit servicing companies. Lu was also the Head of Core Payments for PayPal China and the Head of Global Banking Platform for PayPal US.

Dan Schatt, Co-Founder & COO – Dan previously worked as the Chief Commercial Officer at Stockpile Inc., a leading fintech company, and as General Manager of Financial Innovations at PayPal.

Howard Wu, Chief Scientist – Howard is a blockchain and cryptography expert who is a Founding Partner of Dekrypt Capital, Advisor of Blockchain at Berkeley, and Software Engineer at Google. He advises the project in a technical capacity and has received a Master’s degree in Electrical Engineering and Computer Sciences from UC Berkeley.

Advisors for Libra Credit include Shuoji Zhou, Founding Partner of FBG Capital, Kenneth Oh, Senior Partner with Dentons Rodyk & Davidson’s Corporate Practice, and Shoucheng Zhang, CEO of Danhua Capital & Physics Professor at Stanford.


  • The team leading the project is exceptionally strong, with senior executives from PayPal and successful entrepreneur in the credit space. We believe that previous success in related entrepreneurial pursuit is a strong indicator of future success.
  • Libra Credit is already working with promising projects like Radar Relay and MakerDAO to strengthen the platform. With the strong team in place, we believe the project should not have a hard time securing valuable partnerships going forward.
  • The project is backed by various institutional investors who can provide the initial supply of capital and become lenders.


  • There are already quite a few blockchain lending projects, so competition is stiff. Libra Credit’s development progress is rather early compared to its competitors.
  • The crypto-to-crypto lending part seems to be well thought out. However, not so much with the crypto-to-fiat part. According to the roadmap, crypto-to-fiat lending is scheduled to launch in 2018 Q3. With details lacking in the weekly blog update about crypto-to-fiat lending, it is difficult to gauge whether the proposed timeline is reasonable.
  • The roadmap is rather vague. Without the details, it is hard to analyze the level of planning the team has on the project.


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

For ​short-term holding

Neutral. $12 million will be available in the public sale, which is on the high side for a crowdsale. With average market awareness, we don’t think there will be a lot of unmet demand following token distribution.

For long-term holding

Good. The team is some of the strongest that we’ve seen, with demonstrated success in the lending and credit space. Crypto lending projects are also easier to gain adoption because users are already familiar with the use of cryptocurrencies.

Therefore, we believe Libra Credit has a good chance to succeed despite the numerous competitors in the area.

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

* The information contained in this article is for education purpose only and not financial advice. Do your own research before making any investment decisions.

This article is contributed by Victor Lai with the help of our intern Kieran O'Day.

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