Market Specialization
To our supporters:
Once again, we’d like to recognize and appreciate the immense support we have received over the last few months.
We recognize the scope and scale of our project, and where we need to start. We are equipped with the team and resources to proceed but finding a niche to start is key. After many long nights of brainstorming with advisors and challenging our offerings, we are proud to present a more profound, novel concept that will disrupt the financing industry as we know it.
Making unsecured loans highly secure
Cost reduction is one of the most important motivations in securitization. It is often done via credit enhancement. We can apply the same principals to reduce the interest rate required by unsecured loans, making it attractive to both borrowers and lenders. Our goal at FintruX Network is to disrupt the way unsecured loans are being originated and administered.
An unsecured loan is a loan that is not protected or secured by any asset. In this case the lender is taking a lot more risk and would likely charge a higher interest rate. The riskier the loan, the more expensive it will be. We are changing that.
At FintruX Network we facilitate marketplace lending in a true peer-to-peer network. Through credit enhancement, we improve credit worthiness. The lender is reassured that the borrower will honor the obligation via additional collateral, insurance, and a third-party guarantor. Credit enhancement reduces credit/default risk of a debt, thereby increasing the overall credit rating and lowering interest rates simultaneously.
The four cascading levels of credit enhancements provide unprecedented risk reduction towards unsecured loans:
- Over-collateralization acting as additional security; and if it fails to cover all losses arising from the same borrower,
- Third-party guarantors take care of the overflow losses from the above for the selected loans; and if it still fails,
- Cross-collateralization pool provides additional insurance; and if it still fails,
- Five (5)% of all FTX Tokens has been reserved to cover any losses incurred by lenders.
For full details, please read our whitepaper.
What does this change?
www.fintrux.com has been updated with the newest whitepaper and website content to reflect our current offering. Our overall scheme has not changed — we are making borrowing and lending a no-brainer for both borrowers and investors. However, the approach we are taking is now more focused.
We have also received a lot of feedback that our whitepaper, while well written — was extremely verbose, technical, and not easy to read in the slightest. We have changed that by creating a brand new graphical whitepaper.
We hope you enjoy the new changes, and ride together with us on the journey to making unsecured loans highly secure.
Thanks,
The FintruX Team
About us: FintruX Network is the global P2P lending ecosystem powered by blockchain and no-code development. FintruX facilitates marketplace lending in a true peer-to-peer network to ease the cash-flow issues of SMEs that typically face challenges getting loan financing, such as startup companies.
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