Global Marketplace Lender Bitbond Joins the SME Finance Forum
Bitbond, the global marketplace lender for small business loans, has joined the SME Finance Forum. Through its membership Bitbond aims to exchange knowledge with other financial institutions in the SME lending community and to help foster innovation in the space.
Bitbond provides inclusive microfinance on a global scale. Over 1,200 loans with borrowers from 68 countries have been originated through the platform so far. 32% of the loan volume was originated in emerging markets like India, the Philippines, Indonesia, Brazil and many others. By using bitcoin and the blockchain as a payment network, Bitbond’s users don’t need a bank account in order to get a loan or to invest through Bitbond.
Small and medium sized businesses are under-served by banks. The SME Finance Forum estimates the global SME funding gap at $ 2 trillion. Bitbond helps to close this funding gap by connecting creditworthy borrowers with individual and institutional lenders. Typical borrowers on the platform are retailers, freelancers, restaurant owners and drivers who use digital distribution channels like eBay or MercadoLibre.
Matthew Gamser, the CEO of the SME Finance Forum, said: “Our goal at the SME Finance Forum is to improve the access SMEs have to finance. We do this through our global network of financial institutions and tech companies. We are happy to welcome Bitbond as new member to the Forum and look forward to the expertise they bring in from the tech world.”
Radoslav Albrecht, the Founder & CEO of Bitbond, said: “Bitbond has always endeavoured to make financing available to SMEs around the globe. Small business owners typically find it tough to get quick and affordable financing from banks and traditional financial institutions. In conjunction with the SME Finance Forum, we are looking to expand our network of partners to reach even more borrowers in emerging markets.”
Bitbond is the first global marketplace lending platform for small business loans. Bitbond connects small business owners who need a financing with individual and institutional lenders.
By leveraging bitcoin and the blockchain as a payment network, Bitbond provides inclusive finance in both developed and emerging markets. The platform and its users are independent from the conventional banking system. Bitbond applies an innovative credit scoring mechanism which is independent of credit bureaus by relying on data from the borrowers’ online accounts.
Previous to starting Bitbond, founder and CEO Radoslav Albrecht worked at Deutsche Bank London and consulting firm Roland Berger on European and Western African projects in the financial services industry.
About the SME Finance Forum
The SME Finance Forum, an initiative of the G-20, works to expand access to finance for small and medium businesses. The Forum operates a global membership network that brings together financial institutions, technology companies, and development finance institutions to share knowledge, spur innovation, and promote the growth of SMEs. Managed by IFC, the SME Finance Forum was established in 2012.
Radoslav Albrecht, Founder & CEO of Bitbond