Every now and then, a popular Bitcoin service will relaunch under a different name. In some cases, this is due to outside influences, such as a change in managerial positions or a new investor. But in the case of BitLendingClub, they simply want to remove the “Bit” part of the company name and continue under the brand name “Loanbase”.
BitLendingClub – A Success Story for Two Years Straight
Over the past two years, BitLendingClub has achieved many successes in the market of extending Bitcoin loans to customers. It goes without saying this is a very delicate market, as Bitcoin transactions can not be reserved if someone doesn’t pay their loan back. To reduce the risks of these events taking place, BitLendingClub introduced a strict verification procedure for all users.
To be more precise, getting verified for BitLendingClub is on par with the verification procedure when applying for a bank loan. Users need to submit a copy of their ID or driver’s license, verify their proof of address, complete SMS verification, provide a valid email address and hand over a proof of income.
The last part of the procedure is of particular interest, as BitLendingClub is the only Bitcoin loan service asking for users to show that they can repay these loans. Furthermore, screenshots are not acceptable, as they can easily be tampered with. Other than that, a recent paycheck – or Paypal/Bitcoin statement for self-employed individuals – are accepted as well.
Due to these tight procedures, BitLendingClub has successfully negated the huge risk of users defaulting on their loan. While there is never a safe way to erase that possibility completely, BitLendingClub has taken certain precautions. For example, if a “reputation” loan is given to a user by other investors, they will be able to get the money back from the platform.
All of these measures have cemented the legacy of BitLendingClub as the largest peer-to-peer Bitcoin lending platform in the world today. Now that Bitcoin has managed to get more positive mainstream attention; it looks like the company will be successful for quite some time to come.
As a direct result of this impending success, BitLendingClub felt the time was right to re-brand their company and continue under the name of “Loanbase”. There is no longer a need to have “bit” in the same, as it will not help grow the Bitcoin ecosystem any longer. The real mainstream adoption will stem forth from adopting blockchain technology and all of the possibilities it can create.
No Major Impact for Users
Other than a change in the domain name and a new company logo, there won’t be much changing for existing BitLendingClub users. The platform will continue to work as it has for two years now, but all BitLendingClub references will be replaced by Loanbase references.
However, there is one major thing BitLendingClub users need to keep in mind. All of the referral links will be changing to the new domain name as well, so make sure to update those links wherever you are promoting them come September 23rd. This change is part of ensuring continued integrity of the BitLendingClub/Loanbase platform.
Source: Loanbase Blog
Images courtesy of BitLendingClub, Loanbase, Shutterstock