Berlin based FinTech Startup Bitbond receives BaFin Licence

Bitbond received its own licence by German financial regulator BaFin as the first blockchain based financial services provider. The Startup from Berlin connects small business owners who need a loan with investors and uses the bitcoin blockchain for payment processing.

Bitbond enables individual and institutional investors to invest in various interest rate regions. The BaFin licence enables Bitbond to be active independently of banks and by that the company is also geographically independent.

Radoslav Albrecht, founder and CEO of Bitbond, evaluates the receipt of their BaFin licence as follows:

“With our own BaFin licence that allows us to conduct asset brokerage Bitbond is active independently of banks. This provides us with a significant efficiency advantage. Other Fintech startups normally rent a licence and by that are bound regionally.

Our own licence helps us to fulfill our mission which is to make financing and investing globally accessible.

We are proud to be one of the first regulated financial services providers in the entire blockchain space. This creates legal security with investors on our platform and shows, that Germany is a good location for innovative and globally active financial services providers.“

Investors finance small business loans via Bitbond and by that get access to attractive interest rates. Bitbond has users from over 120 countries and originated over 1,400 loans to date. Most of the platform’s borrowers are online sellers who run a shop on sites like eBay or Amazon. Bitbond conducts a credit check based on the revenue data of the merchants. The borrowers use the funds for inventory and working capital financing.

The German financial regulator BaFin classified blockchain based digital currencies like bitcoin already back in the year 2011. Thereby Germany is one of the few countries where there is a clear regulatory framework for blockchain based services.

About Bitbond

Bitbond is the first global marketplace lending platform for small business loans. The loans get funded by individual and institutional investors. Bitbond conducts a credit check on all borrowers. The loans are used for working capital financing.

By using the bitcoin blockchain for payment processing Bitbond and its users are independent of banks.. Bitbond is the first German regulated financial services provider that uses blockchain technology.

Before founding Bitbond, Radoslav Albrecht Bitbond worked for Deutsche Bank London in sales and trading and Roland Berger Strategy Consultants.