How to Borrow ETH?


Sections

    To borrow ETH in SmartCredi.io application borrower has to create loan request first and transfer its collateral to the SmartCredit.io LoanRequest escrow account.

    Loan requests are active only for period defined by borrower. After period end borrower collateral is transferred back to his ETH account and loan request is terminated.

    Borrower Loan Request

    To enter loan request

    1. Click Loan Requests in the left side menu
    2. Select ETH as currency
    3. Enter your loan amount
    4. Enter loan duration
    5. Annualized interest rate is calculated based on loan duration
    6. Select for how long loan request is valid
    7. Select your collateral token

    On the right side of the screen you can see loan collateral requirements:

    • Collateral token
    • Collateral token price
    • Collateral value in ETH
    • Amount of needed collateral tokens
    • To submit your loan request press submit.

    After pressing the submit button borrower is forwarded to the loan request overview screen.

    Also the borrower gets an email confirmation about the loan request and reminder to transfer collateral to the escrow account.

    Borrower Approve Collateral Transfer

    To approve loan request collateral transfer

    1. Press approve button on the loan request overview screen
    2. Popup window appears
    3. Escrow account, your ETH account, collateral name, collateral amount and collateral address are shown in the popup window
    4. Press Confirm Transaction button

    Borrower Approve Collateral Transfer in Metamask

    As next MetaMask plugin screen appears.
    Press Confirm button on MetaMask plugin screen to initialize collateral approval.

    After pressing Confirm button in the MetaMask plugin user is forwarded to the loan request overview screen.

    Transactions in Ethereum Mainnet may take time. You can follow progress of Transaction in MetaMask plugin under Activity tab.

    After the transaction is confirmed in Ethereum Mainnet notification from MetaMask appears on the right bottom of the screen.

    Borrower Collateral Transfer in Metamask

    As next collateral has to be transferred to the escrow account.

    1. Press transfer button
    2. Popup window appears
    3. Popup window shows your ETH account, collateral and collateral escrow account.
    4. Press Confirm Transaction button
    5. MetaMask plugin window opens
    6. Press Confirm button to initialize token transfer

    Token transfer in Ethereum Mainnet may take some time. After token transfer is finished you will see 0 ETH transaction from app.smartcredit.io in the MetaMask plugin activity tab.

    Borrower Approved Loan Request with Collateral

    Borrower can see an overview of his loan requests in the Loan Requests screen.

    Press Loan Requests menu item on the left side menu to get to the Loan Requests screen.

    Borrower is also notified about his active loan requests.