A Mutual Credit Line is an arrangement between two or more parties allowing them to extend credit to each other using digital assets. This system functions like a revolving credit account, where participants can borrow and lend based on their mutual agreement.In this setup, each party can draw from a predetermined limit based on their trust and creditworthiness. This mechanism helps facilitate transactions without the need for immediate cash exchanges. For example, if one party owes another, they can use the credit line to repay the debt in a more flexible manner.The benefit of a Mutual Credit Line includes reduced transaction costs and faster settlements. It also enables parties to maintain liquidity while establishing trust within the network. Overall, this model fosters collaboration and encourages more efficient transactions among participants.