Uncollateralized Lending: DeFi’s Next Big Evolution | Sid Powell, Teddy Woodward
Bell Curve
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The Real Difference Between Un-Collateralized and Over-Collodized Lending
Notional is actively exploring or actually about to launch a product that allows people to borrow from notional and essentially keep the borrowed assets as collateral for the loan but use them productively at the same time. So in a sense, it's allowing the capital efficiency of un-collateralized lending but still maintaining the risk profile of over-collocalized lending. In non-crypto, we have this whole setup via government and a system of courts and protection like a whole rich precedent of property law which says, hey, if you renege on that, then here's what’s going to happen. You get plugged into the system. What I was going to say is
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