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RE: THANK YOU to @coininstant for Being Awesome & Helping get the Hive.Loans Project an Extremely Sexy New URL/TLD! (Plus a Quick Hive Loans Development Status Update)

in #hive • last month

Not really, cause loans are likely to be overcolateralized, i.e you need to own more hive than you are wanting to borrow,

Also I don't think you will be able to take out a loan if the withdrawal route is not set to hiveloans as I think that a prerequisite for taking out a loan.

And if you change it after taking the loan out the account gets ceased, the withdrawal route reset to hiveloans and then a 30% fine on top.

So if you borrowed against the full 70% of your HP, 100% of your HP would be used to pay back the loan.

Is my understanding here correct @klye

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     28 days ago  

    The overhead 30% is kept incase they try to go malicious and mess with the loan.. So yes, you can borrow up to 70% of the HP into liquid HIVE.. but if the one loaning tries to do something shady, then the account will be completely locked from the user and the 30% remaining will be taken as a penalty, going to the site / HLSHARE holders. It seems a bit overkill, but is meant as a large deterrent.

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       last month  

      I just wanted to be sure that "Also I don't think you will be able to take out a loan if the withdrawal route is not set to hiveloans as I think that a prerequisite for taking out a loan.

      And if you change it after taking the loan out the account gets ceased" were both took into account haha