Lendasat DocsContract States
Understanding the different states of your loan contract
Throughout the loan lifecycle, your contract transitions through different states. Track your current state in the borrower or lender interface.
Quick Reference
| State | Description | Who Acts |
|---|---|---|
Requested | Loan request submitted | Lender |
Approved | Request accepted | Borrower |
CollateralSeen | BTC detected on-chain | System |
CollateralConfirmed | BTC confirmed | Lender |
PrincipalGiven | Loan disbursed | Borrower |
RepaymentProvided | Repayment sent | Lender |
RepaymentConfirmed | Repayment verified | Borrower |
Closed | Loan completed | - |
Normal Loan Flow
Requested
Borrower submits a loan request based on a lender's offer.
→ Waiting for lender approval
Approved
Lender accepts the contract request.
→ Borrower deposits Bitcoin collateral
CollateralSeen
Collateral transaction detected on-chain, awaiting confirmations.
→ Waiting for blockchain confirmations
CollateralConfirmed
Collateral confirmed with sufficient verifications.
→ Lender releases principal
PrincipalGiven
Loan amount transferred to borrower or Virtual Card. Loan is now active.
→ Borrower manages loan and plans repayment
RepaymentProvided
Borrower sends repayment (principal + interest) and provides transaction hash.
→ Waiting for lender confirmation
RepaymentConfirmed
Lender confirms receipt of full repayment.
→ Borrower withdraws collateral
Closed
Loan successfully completed. Collateral returned to borrower.
Extension States
RenewalRequested
Borrower requested a loan extension with the same lender.
→ Waiting for lender approval
Extended
Extension approved. Original loan closed, new contract begins.
→ New loan follows normal flow
Problem States
These states require immediate attention to avoid losing collateral.
Undercollateralized
LTV reached 90%. Lender can initiate liquidation.
→ Add collateral immediately or face liquidation
Defaulted
Borrower failed to repay by maturity date.
→ Lender claims Bitcoin collateral
Closing
Collateral claim transaction processing on-chain.
→ Waiting for blockchain confirmations
Cancellation States
Rejected
Lender rejected the request. No collateral deposited.
→ Submit a new request
Cancelled
Request cancelled by borrower or lender before collateral confirmed.
→ No obligations for either party
RequestExpired
Request not accepted within 24 hours.
→ Submit a new request
Dispute States
DisputeBorrowerStarted
Borrower initiated a dispute. Lendasat will review and mediate.
DisputeLenderStarted
Lender initiated a dispute. Lendasat will review and mediate.
DisputeBorrowerResolved
Borrower accepted the resolution. Contract transitions accordingly.
DisputeLenderResolved
Lender accepted the resolution. Contract transitions accordingly.
State Flow Diagrams
Successful Loan
Requested → Approved → CollateralSeen → CollateralConfirmed
↓
PrincipalGiven → RepaymentProvided → RepaymentConfirmed → ClosedExtension
PrincipalGiven → RenewalRequested → Extended → (New contract)Liquidation / Default
PrincipalGiven → Undercollateralized → Closing → Closed
PrincipalGiven → Defaulted → Closing → ClosedCancelled
Requested → Rejected / Cancelled / RequestExpiredNeed Help?
Questions about contract states? Check our FAQ or contact support.