The problem PeerLink solves

Our project presents solutions to critical challenges in cryptocurrency Peer-to-Peer (P2P) lending:

1. Volatility and Risk: We mitigate crypto price fluctuations with flexible loan terms and collateral mechanisms, ensuring trust for lenders and stability for borrowers.

2. Regulatory Uncertainty: Collaborating with regulators, we establish a compliant framework, ensuring legal protection and a safe lending environment.

3. Smart Contract Reliability: Rigorous code audits and cybersecurity measures safeguard our smart contracts against malfunctions and hacks.

4. Identity & KYC Complexity: We implement privacy-respecting identity verification using cutting-edge cryptography, striking a balance between compliance and privacy.

5. Reputation System Adaptation: Our blockchain-based reputation system accounts for participant anonymity, fostering trust and accountability.

In essence, our project addresses these challenges with innovative solutions, enabling secure, transparent, and efficient P2P lending in the cryptocurrency landscape.

Challenges we ran into

While developing the project, one significant challenge was integrating Web2 and Web3 components seamlessly to maintain decentralization. Combining conventional web technologies with blockchain required careful consideration to ensure data consistency and user experience. We addressed this challenge by adopting modular design patterns, segregating centralized and decentralized functionalities, and using smart contracts for transparent interactions.

Hurdle: Lack of Full Aadhar Card Authentication APIs

A hurdle we faced was the absence of comprehensive APIs for fully authenticating Aadhar cards on the blockchain. Ensuring robust identity verification while adhering to privacy regulations was crucial. To overcome this, we developed a hybrid solution that utilized off-chain identity verification within legal boundaries, coupled with on-chain cryptographic proofs to enhance security and transparency.

Issue: Blockchain Limitations

Blockchain-related issues arose during development, particularly regarding scalability and transaction costs. The technology's inherent constraints posed challenges in handling a large number of P2P lending transactions without incurring exorbitant fees or compromising speed. We mitigated this by exploring layer-2 scaling solutions and optimizing smart contract logic to reduce gas consumption.

Additional Challenge: Regulatory Compliance

Navigating the regulatory landscape in the P2P lending crypto space proved to be a complex challenge. Balancing the decentralized nature of the platform with regulatory requirements demanded meticulous legal consultation and strategic decisions. We overcame this challenge by collaborating with legal experts to design a framework that complied with existing regulations while preserving the project's innovative spirit.