Kevin

Bitcoin

Edge

Security

Revolution

<ul>
 <li>Open Bitcoin Credit (OpenBC) integrates with banks and financial institutions to provide decentralized Bitcoin-backed loans.</li>
 <li>The protocol is launched with its native token, OBC, enabling governance, liquidity incentives, and financial innovation.</li>
</ul>
Venezuelan developers Kevin and Víctor Charles, known for founding Venezuela’s first <a href="https://www.ethnews.com/turn-100-into-1-million-3-cryptos-that-could-outpace-bitcoin-by-2025/" rel="noopener noreferrer nofollow">Bitcoin</a> exchange SurBitcoin, have launched Open Bitcoin Credit (OpenBC), a groundbreaking decentralized protocol designed to facilitate Bitcoin (BTC)-backed loans.
Living in New York since 2013, the Charles brothers aim to bridge a critical gap in the financial ecosystem by providing an accessible alternative to traditional lending systems through blockchain technology.
<h2 id="a-decentralized-lending-revolution">A Decentralized Lending Revolution</h2>
OpenBC is designed to integrate directly into the systems of banks, fintech companies, and even government institutions.
This business-to-business-to-consumer (B2B2C) model allows organizations to adopt the protocol without the need to invest in developing proprietary technology. By leveraging OpenBC, these entities can seamlessly offer BTC-backed loans to their customers, bypassing traditional intermediaries.
Víctor Charles emphasized that the need for such a decentralized solution stems from their experience with Venezuela’s unstable financial landscape.
After SurBitcoin’s closure due to banking issues and fraudulent activities, the brothers developed Coco Wallet, a stablecoin-powered tool to combat inflation and currency devaluation. Building on these insights, they envisioned OpenBC as a tool to democratize access to credit globally.
<blockquote>
 “OpenBC eliminates the reliance on traditional intermediaries,”
</blockquote>
explained Kevin Charles.
<blockquote>
 “It provides secure, automated loans through open-source smart contracts, ensuring users maintain full control over their funds.”
</blockquote>
OpenBC is powered by its native token, OBC, which serves multiple purposes within the ecosystem. The token facilitates governance, allowing users to vote on proposed changes and upgrades. Additionally, OBC can be used to pay fees, incentivize liquidity providers, and collateralize certain financial products.
The initial token presale raised over $400,000, funding further development and promotion of the protocol. According to the Charles brothers, these funds are crucial for positioning OpenBC as a competitive player in the growing <a href="https://www.ethnews.com/bitcoin-rally-sparks-memecoin-mania-top-3-tokens-predicted-to-surge-8000/" rel="noopener noreferrer nofollow">Bitcoin</a> lending market.
<h2 id="a-competitive-edge-in-bitcoin-lending">A Competitive Edge in Bitcoin Lending</h2>
While Bitcoin-backed lending is gaining traction on platforms like Binance, OpenBC distinguishes itself by targeting institutional integration. It offers established organizations a plug-and-play solution for entering the decentralized finance (DeFi) space without significant investment in infrastructure.
Recent reports indicate a growing interest in utilizing <a href="https://www.ethnews.com/argentinas-cnv-enables-crypto-investments-in-open-common-investment-funds-expanding-financial-tools-with-bitcoin-and-ethereum-inclusion/" rel="noopener noreferrer nofollow">Bitcoin</a> as collateral for advanced financial transactions. Projects such as Aave’s exploration of Bitcoin DeFi on Spiderchain underscore the accelerating momentum in this space.
OpenBC aligns with this trend by offering a secure, scalable, and transparent platform that extends <a href="https://www.ethnews.com/the-future-of-defi-aaves-potential-deployment-on-bitcoins-spiderchain-explained/" rel="noopener noreferrer nofollow">Bitcoin</a>‘s utility beyond mere value storage.
Security is a cornerstone of OpenBC’s design. The protocol relies on automated smart contracts and undergoes rigorous third-party audits by firms like CertiK to ensure robustness. These measures differentiate OpenBC from potential scams and reinforce trust in the system.
<blockquote>
 “Smart contracts ensure that transactions occur without human intervention, granting users complete control and transparency,”
</blockquote>
noted the developers.
By addressing key challenges in the traditional and blockchain-based lending sectors, OpenBC positions itself as a pivotal innovation in the intersection of finance and technology.
<div class="cryptoboxes" id="mcw-12344" data-realtime="on">
 <div class="mcw-chart mcw-chart-light" data-font="inherit" data-chartcoin="BTC" data-chartcurrency="USD" data-chartrate="1.000268" data-charttype="chart" data-chartview="day" data-charttheme="light" data-chartsmooth="true" data-chartareacolor="" data-chartbgcolor=""></div>
</div>
The post <a href="https://www.ethnews.com/venezuelan-developers-launch-decentralized-bitcoin-loan-protocol/" rel="noopener noreferrer nofollow">Venezuelan Developers Launch Decentralized Bitcoin Loan Protocol</a> appeared first on <a href="https://www.ethnews.com" rel="noopener noreferrer nofollow">ETHNews</a>.

Venezuelan Developers Launch Decentralized Bitcoin Loan Protocol

Table of Contents

ETHNews

Other articles published on Nov 18, 2024

BlackRock’s Bitcoin ETF options set to hit Nasdaq tomorrow

QNT Price Analysis: Is $200 the Next Target for Quant?

Market Makers Prepare to Pump DTX Exchange 9,700% After Rotating Profits from DOGE Rally and Near...

UK Pension Fund Embraces Bitcoin with 3% Fund Allocation

Why Suiruto $SHIN Could Be the Next 100X Opportunity You Can’t Afford to Miss!

Hamster Kombat Loses 86% of Active Users: Possible Reasons

Join our free newsletter for daily crypto updates!