New blockchain P2P platform to offer loans in an hour

A NEW global peer-to-peer platform is to launch next month, providing short-term loans to small businesses using blockchain technology.

The Debitum Network says it will offer a faster source of finance than traditional banks, with decisions made in as little as an hour. It will provide loans between €10,000 (£9,000) and €1m, with terms ranging from two to six months.

Investors can expect annual returns of 10 to 15 per cent, the platform said.

Loans can be funded in any currency, with some of the funds used to purchase its own DEB tokens that are used by borrowers to pay platform fees and for risk assessment by investors.

Transactions are recorded using smart contracts on its own blockchain.

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“The service uses blockchain technology to automate its processes, while transactions are carried out in traditional fiat currency – making it accessible to small traders inexperienced in the crypto-currency market,” Debitum said.

“While business bank loans often have a maturity of one to five years, Debitum offers shorter payback times of two to six months – providing businesses with timely injections of cash when they need it.

“With a truly decentralised structure based on blockchain technology for complete transparency and security, Debitum Network removes many costly overheads to offer significant lower fees to borrowers. And without the bottlenecks that slow down conventional bank loans, Debitum promises to offer loans faster – sometimes in as little as an hour.”

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