This is a way for users to put up their account ownership as collateral and borrow against the locked up Hive Power. The Hive.Loans service takes over the account ownership and sets up automatic repayment of the lenders money. The borrower is given a new active, posting and memo key but the owner key is kept in the Hive.Loans account key management system and monitors the borrowers account for any indication of breaking the lending contract plan.
Basically a way to liquidate your account or free up it's capital without having to wait 13 weeks to powerdown or take loans to take advantage of price movement on HIVE.
Thanks a lot for getting back and clearing things in my head. Makes a lot of sense now!
No worries. The concept has seemed to allude us as a community till now so it's understandable that it doesn't make a whole lot of sense the first read through. :P
Writing skills are also atrocious too. Posts are generally grammatical kamikaze runs. :D
Getting mighty close to getting the first prototype contract going on a test account. Perhaps later tonight will have a very very vey early proof of concept.
Haha I understand the "grammar-kazi" approach! Tried writing something yesterday and I read it back later in the day and was like, "what the hell is that?" 😂
Awesome news on the development! I'll be interested in seeing how it looks/works when it goes live!