There is a clear need for an analog to and innovation around traditional financial products and services for Bitcoin– for example, Bitcoin savings accounts and lending (perhaps through user-selected rules regarding fractional reserve levels). BTCjam (https://btcjam.com/) is an example of such
decentralized blockchain-based peer-to-peer lending.
Purchase Blockchain from O’Reilly Books at Amazon.com
Q: Can you share a bit about who inspires you in the Bitcoin space?
A: I’ve recently been inspired by Celso Pitta, the CEO of BTCjam. Celso had credit problems in college and the credit system in his home country of Brazil is profoundly unfair, charging borrowers 200% interest for a standard loan. Celso was motivated by these troubles to found BTCjam, which is a new peer-to-peer bitcoin lending website that allows anyone on Earth to give or take a loan in Bitcoin. It’s a really exciting idea and I think using bitcoin to fund loans could really expand access to credit and improve the world. I believe in this so much so that I’ve recently joined BTCjam as their Community Manager. I’m very excited about BTCjam.
— CheapAir, People of Bitcoin: The “Mad Maverick”
Tony first heard about BTCjam at a Bitcoin Meetup group in Los Angeles. He liked the idea of P2P Lending right away. It reminded him of the “freedom philosophy” that excited him about Bitcoin in the first place.
Back in June of 2011, Tony’s friend sent him an article about “fake internet money”, but the more Tony read about Bitcoin, the less it seemed like a fake and the more it seemed like something that could transform the banking system. Tony read everything he could about Bitcoin until one day it just clicked – and he’s been buying, spending and promoting Bitcoin ever since.
In July, Tony ran into trouble. His old car suddenly broke down. He needed a new car immediately to get to work and to see his new girlfriend and without one, Tony could lose his job and maybe even his girlfriend. Tony knew what to do. He turned to BTCjam and created a loan listing to borrow money for a nice down payment for a pre-owned car. With BTCjam’s low rates for borrowers, he would actually save money in the long run, by borrowing money for his down payment at a lower interest rate than most banks would have lended it to him.
Tony’s loan funded quickly. His loan funded easily because he completed his BTCjam profile and received personal referrals from his friends. He was diligent in responding to comments from investors and was honest about himself in his loan description. He explained his plans to buy the car in detail and how he would pay his loan back. Tony is an open book and we think it was key in helping investors confidently investing in his loan.
Once his loan funded, Tony had no problems converting the Bitcoin into dollars and withdrawing it for the down payment on his car. Tony purchased a sporty dark blue 2013 Ford Focus hatchback, and he says it’s a lot of fun. We can also confirm that it’s been nine months since he got his loan on BTCjam and Tony still has the car, the job and the girlfriend! Way to go Tony. Thanks for borrowing with BTCjam… and thanks to the investors of BTCjam for funding Tony’s loan!
Until Next Time…. Keep on Jamming!
If you need bitcoin, borrow bitcoin on BTCjam! If you want to invest, invest on BTCjam!
Thanks to CoinJabber for rating BTCjam 4.4 Stars, placing BTCjam at the top of the Investment category. Did you know, you can rate and review bitcoin companies on CoinJabber? You could even write a review for BTCjam! 🙂