The goal of this tutorial is to show users how to use initiate a loan using POA20 as collateral on the ETHLend platform.
In order to initiate a loan, you will need to sign up and create a wallet on ETHLend. Once that is complete, use the tutorial below to deposit POA20 into your wallet and allocate it as collateral for a loan. Always remember to save your backup recovery phrase or JSON file when you create your wallet.
Deposit POA20 into ETHLend
In order to create a loan, a user have collateral in their account. Collateral can be Ethereum or any ERC-20 compliant token listed on the ETHLend platform. As part of this tutorial, we will be using POA20 as collateral for a loan.
Step 1 - Once you have created an account and activated your wallet with ETHLend, you will need to deposit POA20 into your wallet. In order to do that, click on the wallet icon on the top right on your homepage
Step 2 - In your wallet page, select ‘Tokens’
Step 3 - Type ‘POA ERC20’ in the search field. Select the track checkbox under Action column for POA ERC20
Step 4 - Click on the ‘Receive’ button. Your address wallet will appear where you can transfer POA20. Once deposited, this step is complete.
Create a loan and by using POA20 as collateral
Now that you have a POA20 balance in your account, you can use that as collateral to borrow funds within the ETHLend marketplace. Follow the steps below to create a loan via ETHLend
Step 5 - On the ETHLend homepage, select ‘ Borrow’.
Note: Users may choose to also lend out Ethereum, Lend tokens, or Stablecoins and can elect to collect POA20 as collateral. For the purpose of this tutorial, we will only be showing how users can use POA20 as collateral when issuing a loan as the borrower.
Step 6 - Once you select ‘Borrow’ you will be prompted to select either opening a new request to Borrow (i.e. Create) or viewing all current offers in the market. For the purpose of this tutorial, we will be using users how to Create new loan requests.Select ‘Create’
Step 7 - In the New Loan Request, select the ERC20 dropdown. Search for POA, and select ‘POA’ from the list
Step 8 - In the ‘Insert the collateral amount’, enter the amount of POA20 you want to collateralize as part of your loan
Step 9 - Select your loan currency. Options include Ethereum, Lend, Stablecoins (i.e. Dai, Pax, TUSD, etc.), or Ethereum-Pegged currencies (ETH-USD, ETH-EUR, etc.) For this example, we will be using Dai.
Step 10 - Based on your collateral, ETHLend will identify your eligible borrowing amount. Select ‘Proceed’
Step 11 - Select the loan duration and enter the interest level you are willing to borrow at.
Step 12 - All the information will be summarized in the table on the right hand side. Review all the various details and accept the terms if you agree to them.
Step 13 - Once you select ‘Create’ you will be prompted to confirm the transaction details. To proceed, select ‘Submit’
Step 14- Transfer collateral. Read the terms and conditions of the agreement, and select ‘Transfer Collateral’ to proceed.
Step 15 - Confirm the transfer of the Collateral by selecting ‘Approve The Transfer’
Step 16 - You will receive a confirmation once your loan request has been published in the marketplace.
Step 17 - You can track the status of your loan(s) by selecting Dashboard in the home menu and viewing your Borrowed Loans as well as your Funded Loans