Othera is helping Credit Crowd to re-imagine the digitisation and trade of P2P loans on the blockchain
Othera, developer of the Blockchain Lending Platform and Digital Asset Token Exchange that is helping to re-imagine the Alternative Asset Investment ecosystem, has welcomed new lender, Credit Crowd, onto their platform. As a P2P business lender, Credit Crowd are looking to digitise their existing and future loan book to facilitate transparency and liquidity for the issuance and trade of loans by their investors.
Blockchain has captured the attention of financial institutions around the world and has been called the fourth industrial revolution. According to PricewaterhouseCoopers over US $1.4b has been spent investigating and developing new blockchain technology. Othera is one of the few Blockchain technology software companies, globally, with a market ready product for the financial services industry.
Credit Crowd are an established commercial P2P lender who have written more than $100M in mortgage loans and managed more than $50M in their retail fund. As a provider of a P2P marketplace that provides investment opportunities to retail and institutional investors, Credit Crowd chose Othera to help provide their investors with greater transparency over loan-level data and full asset provenance over investment assets. Using Othera’s Blockchain Lending platform, Credit Crowd can digitise, segment and tokenise loans, and issue digital loan tokens that can be traded on a Digital Asset Token Exchange by their investors.
Ivan Ruefli, Director at Credit Crowd said, “We’ve been impressed by the sophistication of Othera’s technology and their willingness to work closely with us to achieve exciting outcomes”. Othera’s ability to consider Credit Crowd’s individual requirements is largely possible due to the plugin flexibility of the platform’s API driven system. This ensures Othera’s platform can integrate with a lender’s existing back office processes and technology and also provides scope for growth and expansion of functionality. Deploying this technology gives Credit Crowd a market leading advantage at a time when most financial services are still grappling with multiple legacy systems and have yet to realise the game changing benefits of blockchain for the financial services industry.
While Othera welcomes new customers, they aim to work only with lenders who can demonstrate rigorous credit approval and responsible lending practices. John Pellew, CEO of Othera said, “We are thrilled to be working with Credit Crowd. We think of Othera as a dynamic, symbiotic investment ecosystem that benefits both lenders and investors. Stringent credit approval and underwriting standards are of utmost importance when valuing alternative assets, and we are doing our best to provide a profitable experience to investors on the Digital Asset Token Exchange. Therefore, we are very selective about the lenders whom we bring onto our Blockchain Lending platform. Credit Crowd have returned 100% of interest and capital to their investors which is a testament to their responsible lending practices and also a reflection of their deep understanding and experience in the industry”.
Othera’s proprietary, two-part system offers a unique solution to illiquidity and to the opaque investment trading practices that have dogged the financial services market for decades. Othera’s Blockchain Lending Platform turns an illiquid asset, like a loan, into a new class of digital, fixed income asset that represents the right to cashflow, much like a bond. This loan token can be traded on an exchange by investors and provides a high degree of transparency which is critical for investors who wish to perform effective due diligence. Utilising Othera’s private, permissioned blockchain, Credit Crowd’s retail and institutional investors will now have greater visibility over the asset and its provenance; including payment history, loan terms and the quality of the underlying security.
Credit Crowd is an Australian financial services provider who have been offering privately funded, short to medium term, first mortgage secured term loans to borrowers that require funding for business or investment purposes. As a provider of a peer-to-peer (P2P) marketplace, Credit Crowd offer great opportunities to investors, both retail and institutional, looking for attractive fixed interest investment returns through property secured lending.