Crowdestor has now launched their “Buyback Guarantee Fund”, a program to minimise risk and safeguard return in case a borrower defaults on their loan obligation. The fund consists of an initial deposit of € 50,000 by Crowdestor, and will receive regular contributions of 1-2% of each project funded on the platform. The fund will work in similar ways to Deposit Guarantee Funds of credit institutions in the EU.  The buyback guarantee fund works by compensating all investors if a borrower was to default. Crowdestor will regularly publish the amount available in the fund. The total value of the fund is expected to reach €100,000 by the end of 2019. More here.

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up to Our Newsletter

Enter your email below to stay updated with our most recent content!
Scroll to Top