  Atomic swaps enable the transfer of value between the cryptocurrencies of
various blockchains without the need to trust an intermediary. In this paper,
we propose the concept of atomic loans, which utilize atomic swap technology to
allow market participants to create overcollateralized debt instruments in a
trustless and disintermediated manner. The primary use cases for atomic loans
include enabling fiat/stablecoin access for cryptocurrency holders to
participate within legacy systems, as well as enabling leverage for margin
trading. We also introduce a bidding process for liquidating collateral in the
case of default which provides the ability for a more fair distribution of
collateral.
