What Is Digital Reserve Network?

The Digital Reserve Network (DRN) is a platform that offers an open-source financial service that focuses on allowing peer-to-peer payments, collateral free borrowing, and sustainable lending services. It does this by leveraging the user of its native cryptocurrency called DENARII.

The generation of the platform by the Digital Reserve P.B.C (Public Benefit Corporation) is with the aim of creating a public benefit through the engagement in the research and the implementation of some of the best practices. This includes learning based rewards that allows financial literacy, increasing financial accessibility by designing suitable software and hardware solutions and the distribution of capital to disadvantaged communities.

The design of the DRN network is such that it allows for the creation of a sustainable model that supports financial inclusion while at the same time produce economic incentives for its network stakeholders through the changing of the previous store of value into an actively working asset. The network uses the Proof of Stake system that is coin based to secure the network by providing an incentive that allows honest network participation by users and a reserve to back the loans.

The design of the digital reserve network empowers borrowers by giving them an opportunity to bid on the terms that they prefer. Borrowers select the borrowing amount, the repayment amount, period and the interest. The details are then entered into a short-term auction with other potential borrowers.

The network's automated underwriting system weights and tiers the bids entered with basis on the parameters submitted and the ranking of the user’s reputation. The bid winners then receive the balance for the borrowed funds in their accounts and are informed on the repayment procedures.

Users also have an opportunity of becoming a minter in the network. The DRN protocol builds its own Denarii reserves to be used for loans while minters pay the network fees. The minters earn Denarii tokens by simply securing the network; validate transactions and the earning of interest on the loans offered on the platform through the lending pool.

The platform's native tokens called DENARII are used as the main currency in the network. Users of the network will use the tokens to access financial products on the network, as well as lending services using the tokens.

Minters and users of the platforms get earnings on the network when they participate in the validation of transactions and when they win blocks. Users also get earnings on the interest accrued on loans given to borrowers.

The networks offer loans to its users that are collateral free and with fewer requirements. The platform also offers financial literacy training to its users allowing them make good financial decisions.

The network is suitably generated to allow everyone even in the disadvantaged community get access to financial services in terms of borrowing and lending of funds. Users undergo a simple process for them to be given loans that accrue manageable interest over time.

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