> For the complete documentation index, see [llms.txt](https://p2p-lending-protocol.gitbook.io/peer-lend/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://p2p-lending-protocol.gitbook.io/peer-lend/overview.md).

# Overview

The traditional financial sector, particularly, the lending space faces challenges in servicing loans, managing bad debts and increasing wide access to loans. PeerLend aims to address these issues by leveraging blockchain technology to create a decentralized peer-to-peer lending platform. This solution not only addresses the problem of loan repayment defaults but also offers a secure and efficient way for lenders and borrowers to transact and increase loan access.

## Problem

As high as 30% of individuals who have borrowed money fail to pay back their loans, according to reports. This problem extends to companies as well, often leading to bad debts that cannot be serviced. This raises the question: How do we protect lenders who lend out their assets while maintaining a perpetually functioning system?

## Solution

PeerLend is a decentralized peer-to-peer lending protocol that provides users with access to liquidity combining the best of DeFi and traditional web2 technologies to make liquidity available while protecting platform users. It is a marketplace where lenders and borrowers meet, governed by a set of rules decided by a DAO system. While not the first DeFi protocol, its singularity lies in allowing participants to make and negotiate offers on interest rates, with protection for lenders through staking collaterals, incorporating features such as Gitcoin identity, credit scores, and an automatic liquidation feature triggered when an overdue defaulting borrower's accrued interest equals the collateral value.

## Technology

PeerLend is built upon a robust stack of technologies designed to ensure security, efficiency, and user-friendly interaction.

The core components of our protocol infrastructure include:

* **Solidity**: The primary language for writing smart contracts on the Ethereum blockchain, ensuring the security and reliability of our lending protocol.
* **Remix Ethereum**: Vital to our development process, enabling us to create and refine our smart contracts efficiently.
* **Foundry for Contracts**: Utilized for the deployment and testing of our smart contracts.
* **Chainlink Aggregator Live Price Feed**: Provides real-time price data for various cryptocurrencies, essential for our lending platform to operate accurately and securely.
* **OpenZeppelin Contracts**: smart contract development library, ensuring our contracts are robust against vulnerabilities.
* **ReactJS**: The frontend framework used to build a responsive and user-friendly interface for our platform.
* **Web3Wallet Connect**: Facilitates wallet connections, improving the user experience by allowing easy access to their wallets for transactions.
* **Alchemy RPC**: This offers us reliable API for interacting with the Ethereum network, ensuring our platform remains connected and responsive.
* **WebSocket**: Enables real-time communication between our platform and the Ethereum blockchain, crucial for maintaining a dynamic and interactive user experience.
* **Sepolia Testnet**: Our chosen testnet for deploying and testing our protocol, ensuring its functionality and security.

## Main Features

What makes PeerLend stand out is the functionality that 

1. allows participants to negotiate interest rates 
2. Implementing an on-chain verification system using Gitcoin passports to improve user credibility. 
3. Implementing a credit scoring system for every participant. These features enhance the user experience and add a layer of security and trust.

### Team

Favour Aniogor, Oluwakemi Atoyebi, Emmanuel Chukwuma, Ezealor Obinna Lawrence, Benjamin Faruna, Jeremiah Samuel