INLOCK TOKEN MODEL In this chapter we will specify the INLOCK token model through a simple loan creation process. It will cover all relevant steps and logical connections. The values we use are for demonstration to show the relation between the collateral, credit and the service fees – these values may be subject to change. […]
Nearly one-third of the U.S. population-106 million people-are either unbanked or underbanked, according to the Federal Deposit Insurance Corporation (FDIC). What that means is they make very few bank transaction or may not have a bank account at all. About 25 percent of those also do not have credit score, thus they are invisible to the mainstream U.S. financial system.
We are currently living in an era where there is a lot of attention to address the problems of financial systems, moreso than in any time since the Great Depression. The general public assumption is that commercial banks are collecting deposit and using that deposit to finance loans based on the public demand. People rightfully expect to be able to gain revenue through interest in return for banks using their deposited money. The reality however is quite the opposite.