Buy now pay later just turned into buy now default later.

Klarna saw its Q1 losses double after $136 million in customer debt went unpaid. The model breaks when trust is forced and risk is opaque.

Now imagine a system where loans are instant, rules are coded, and trust isn’t required—because it’s automated. No late calls. No bailouts. Just math.

Decentralized lending flips the script: collateralized, transparent, and trustless.

What happens when the lender doesn’t need to trust the borrower at all?