News Briefing - Crowdfunding, SME And Alternative Finance

crowd in concert

1. UK – P2P

P2PFN reports IFISA market moves.

“KUFLINK has boosted investors’ rates of return across a number of its products.

The peer-to-peer property lender is now offering annual interest of five per cent for those backing one-year loans, 6.1 per cent for three-year loans and seven per cent for five-year facilities.

The loans can be accessed through Kuflink’s auto-invest accounts and can be held in an Innovative Finance ISA (IFISA) wrapper.

Kuflink is also offering a tiered incentive scheme, whereby customers can earn up to £250 on their first investment or by referring a friend.

Investments of £500 to £999.99 receive £50 cashback, investments ranging between £1,000 and £4,999.99 will receive £100 and more than £5,000 will get £250 cashback.”

2. UK – AltFi

AltFi reports a challenger bank link-up aimed at SME funding.

CODE Investing and PCF Bank, owned by AIM-listed PCF Group, have formed a strategic partnership to provide vehicle and asset finance to the UK SME sector.

PCF, launched in 1993, provides SMEs with financing to make capital investments such as vehicles, construction equipment and manufacturing equipment and has looked to significantly expand its operations since gaining a banking license last year. It currently has a portfolio of over £200m of finance receivables spread across over 14,350 customers.

As an institutional partner to CODE Investing, PCF will gain direct lending access to SMEs that require hire purchase and leasing finance. The focus will be on SMEs whose investment plans meet pre-determined criteria set by PCF.  

Robert Murray, Managing Director of PCF, says that banks and other financial services providers are increasingly turning to alternative finance platforms to assist them in sourcing customers.”

Challenger bank partners with P2P lender to double loan

 

3. International – FinTech

A major deal in Singapore:

 “Marvelstone Group, a Singapore-based private investment company, announced on Monday it has signed an MOU with A*ccelerate to incubate artificial intelligence (AI) startups in Singapore. The company reported that the partnership aims to collaborate on developing a global AI Hub as a community for innovative companies, including startups, in the AI business.”

Marvelstone Group Signs MOU With A*ccelerate to Incubate

4. International – FinTech 

Crowdfundinsider reports:

“The Korean cryptocurrency exchange Zeniex is shutting down and has “abolished” it’s cryptocurrency fund and related token, ZXG.

According to a November 9th notice from the company:

“(A)ll services of Zeniex will be terminated on November 23, 2018.”

The exchange launched in May 2018 with the reported backing of Chinese internet security company Qihoo 36 and the support of Bishije and Jinse Chaijing crypto/blockchain media outlets.

In the November 9th release, the exchange says the decision to shut down came after it experienced “issues” with a second ZXG fund launch it had scheduled for October:

“…(W)ith recent issues regarding ZXG, we have gone through great deliberation both internally and externally…(and) have come to the conclusion that continuing to operate such service will be difficult.”

In the dedicated notice about the “abolished” ZXG fund and token, the company blamed, “…current pressure from the financial authorities”:

“ZXG was expected to be listed on crypto-exchanges overseas in order to continue the management of the fund. However, with recent developing issues we believe that ZXG Crypto fund No 1. is and will have difficulties to operate smoothly with such current pressure from the financial authorities…we feel heavy responsibility and have come to this unfortunate decision.”

The exchange says it will begin refunding ZXG token holders in an equivalent amount of Ethereum (ETH) tokens today, November 12th.”

Korean Crypto Exchange Zeniex Dissolving | Crowdfund Insider

5. International – FinTech

 

More on attempts to create a central regulatory structure in crypto loand:

 

“Last month, a German court ruled that Bitcoin was not a financial instrument. The case centered around an enterprising teenager who launched a Bitcoin exchange five years ago. He was subsequently fined for violating the German Banking Act – a ruling which has now been overturned.

While this decision may have been good for the young entrepreneur, the head-scratching ruling highlighted the knowledge gap between more traditional types and entrepreneurs seekings to develop beneficial technology for the financial services world.

Following the legal decision, Berlin-based Neufund – a securities token issuance platform, published an open letter to the German Bundestag demanding clarity on the regulatory environment.

Neufund has long co-ordinated with BaFin, Germany’s security regulator, to launch a regulatory compliant platform token issuance platform. But the fragmented legal environment creates an obvious problem.”