Mintos delays launch of notes due to ‘limitations in EU countries’
Mintos has pushed back the launch of its regulated notes due to “unforeseen limitations in some EU countries”.
The European alternative lending marketplace said it was on track to launch the notes in the fourth quarter of last year but this was delayed due to the limitations of local tax and institutional systems that “were not fully adjusted for new fintech products”.
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“While the set up for the launch of the notes is fully ready on the Mintos platform, we’re exploring ways to establish a structure with local and EU institutions that will offer optimal satisfaction for investors on Mintos,” the platform said in a blog on its website.
“Therefore, notes will be launched as soon as we have ensured that the most appropriate solutions are in place.”
It did not give an exact timeframe for the launch of the notes, but indicated that it would be later this year.
In the meantime, Mintos said that people can invest in loans on its platform as usual and revealed that it is planning to onboard new lending companies in the near future.
It also said it will soon announce an “Ask Mintos Anything” session with the Mintos co-founder and chief operating officer/ chief financial officer Martins Valters, who will share more about the project.
Mintos enables individuals and institutions to invest in loans originated by a variety of alternative lending companies from around the world.
It secured its investment firm and electronic money institution licence last August and unveiled its plan to launch regulated notes the following month, to give investors greater protection.
With the new, regulated products, Mintos investors will be protected by the MiFID II investor protection framework, prospectus regulation, packaged retail investment and insurance products (PRIIPs), and investor protection law.
They will also be protected by a national investor compensation scheme in the event that Mintos collapsed.