The FinTech company has been operating since 2015 in the investment loan space, connecting funders with loan-seekers in a peer-to-peer exchange. With more than 8,500 daily users from 36 countries, Fast Invest is expanding into the largely unoccupied cryptocurrency lending sector.
Blockchain-based cryptocurrencies have been growing rapidly in 2017, racking up a seventeen times (at the time of this press release) increase in market capitalization since the beginning of 2017.
As these financial technologies mature new opportunities arise, especially for unbanked and underbanked populations.
This is because digital currencies allow for the exchange of value without the need for central banks or other intermediaries. Fast Invest aims to leverage these developments to democratize investment by allowing people to invest as little as one dollar on their loan platform.
This enables users to band together to crowdfund a loan that gets paid back with interest, which can then generate returns for the loan suppliers.
In what may be a first for the industry, Fast Invest will allow users to use their bitcoin or ethereum as collateral for loans in traditional currencies. Due to the nature of smart contracts, loans like this can be executed with very little human input and all parties can be sure that the terms of the loan will be carried out.
This is because smart contracts utilize code and mathematics to enforce agreements without the need for human intervention.
By expanding to cryptocurrency-based investment instruments the company aims to reduce friction in the world of P2P investment and loan services. These offerings include a cryptocurrency exchange, digital wallet for holding tokens, cryptocurrency investment services, decentralized lending, and a payment card that can be funded by cryptocurrencies but used like a credit card.
CEO Simona Vaitkune had this to say:
“From the very beginning our mission is to help people generate a secure and stable passive income stream and achieve their financial freedom. I am delighted that we are expanding our platform to a new infrastructure on the blockchain. This will enable our customers to use both fiat and cryptocurrencies for daily banking operations. The future of digital banking is almost here and we are ready to meet it.”