We apply a unique business model by sourcing money for only 24 hours and splitting the capital in need into a myriad of tiny credit agreements, each valued at €1.
Every day, our partners source capital from Quanloop by introducing projects (loans, assets, etc.) they wish to finance. Following a strict filtering programme, we accept the projects for wholesale funding and prepare to pool funds from our investors.
The projects being financed by Quanloop act as collateral for the money borrowed from you and other investors. To avoid complex legal structures for collateral management, Quanloop pledges its capital to investors — so each Euro you invest is covered by a weighty portfolio which is under our management.
Put simply, we borrow €1 from you, combine it with other investors' money and lend it to our customer. The next day, we take €1 from your fellow investors and refinance yours.
Each time we borrow money to finance a project, we add an underwriting reserve of our own money. That adds an extra liquidity layer to avoid you being unable to exit the next day. Although it should be impossible, in case we lack liquid funds to refinance your Euro, you earn an extra 2% for staying longer.
Quanloop is a great alternative to a piggy bank deposit, being able to add over 15% annual profit to your money.