You are viewing a single comment's thread from:

RE: LeoThread 2025-06-24 22:08

in LeoFinance4 months ago

Part 4/9:

To highlight the difference between traditional loans and DeFi, let's look at a hypothetical traditional bank loan for the Tesla:

  • Total Price: 2.5 million pesos ($47,000)

  • Down Payment: 20% (approximately 500,000 pesos)

  • Interest Rate: 6% per year

  • Payback Period: 60 months (5 years)

In the Philippines, a bank loan may entail a lot of hassle, including a painstaking credit investigation that examines your financial and personal background, which can feel invasive and demeaning. Such processes are incredibly time-consuming and not feasible during holiday weeks.

Conversely, using a protocol like A allows borrowers to bypass all that traditional bureaucracy, primarily requiring only a Bitcoin deposit.

Entering the DeFi World