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DLT based syndicated loan platform |
SyndLend is a Distributed ledger technology based syndicated loan platform to create a speedy, cost efficient, transparent yet compliant market place between loan borrowers, investors and arranging banks
{% tabs %} {% tab title="Convenient and efficient" %} Instant and easy deployment to devise an efficient syndicated loan market {% endtab %}
{% tab title="Transparent and privacy preserved" %} Each entity receives all the relevant information about the loan, market status without having to trust the single source {% endtab %}
{% tab title="Quicker settlement" %} Integration of the token system and instant verification through smart contracts speeds up the settlement time {% endtab %} {% endtabs %}
SyndLend is architected in such a way that the participants, namely, loan borrowers, lenders, agents, and arranging banks share and communicate deal information on a need to know basis by creating private transactions.
{% tabs %} {% tab title="Loan trade desk - Phase 1" %} A marketplace where loan requests and proposals are validated and finally loans are syndicated
- Loan borrower creates a loan request by filling the application
- Arranger reviews the loan request and does background check on/ off ledger with the help of verification bodies
- Arranger broadcasts the loan information to the trade desk so that lenders can review the applications
- Lenders proposes for lending with few details
- Arranger either accepts/ rejects or asks to amend the proposal
- Finally arranger can syndicate the loan and send the details to the borrower {% endtab %}
{% tab title="Loan disbursement - Phase 2" %} An obligation will be created to extend the loan to the borrower after the loan was finalized and syndicated.
- Lender initiates the disbursal process
- Borrower selects the type of payment/ settlement
- Lender approves the payment {% endtab %}
{% tab title="Loan repayment & defaults - Phase 3" %} Regular loan repayments as per schedule and loan default scenarios are handled here.
- Borrower pays the installments whenever it is due
- In case of failure to stick to the contract, borrower will notified about the future events
- Default scenarios will be triggered after certain thresholds {% endtab %} {% endtabs %}