A year has passed, many people have made their New Year resolutions, some looked back to see what happened throughout the past year to determine what was achieved and possibly started making new plans. Businesses, similarly, turn back to look how profitable the year was, evaluate results, prepare for the new business year and cycle.
We, at Debitum Network, want to be as productive as possible and offer the best services for investors and borrowers, as well as third parties offering their services on our platform. In our previous post, we shared what features and functionalities have been implemented on our platform since its’ launch on the 4th of September in 2018. In this post, we want to look at some statistics on our platform and share the numbers with you.
The platform is young and since the platform launched in September, statistics reflects just the last quarter of 2018. The fields for statistics include:
We started with 556 users in September and the number grew to 1271 by the end of December. That is roughly a 129% increase from the month our platform launched.
Registration on our platform is free and users do not have to deposit or invest. Anybody can try platform first and get the feel what is what, and how things work: go through different functions and functionalities, look through assets, do some filtering of assets according to risk levels: conservative, moderate or aggressive, check info about companies borrowing or who they offer their services to.
In terms of investors, we had a humble beginning as there were only 21 of them in September. However, by the end of the year, we experienced exponential growth as the number grew to 269, which is an astounding increase of 1,180%. We are really happy about it as it shows the trust in our platform and the number of those who commit their money to invest has been growing by leaps and bounds since its’ inception. (At Debitum Network, investors are called users who invested at least once in the platform).
An activity of investors and turnover of funds accelerated throughout the four months of last year. From 35,957 Euros in September to 509,325 Euros in December, which points to 1,316% growth in just one quarter of the year. The amount itself may not seem huge in comparison to other mega p2p platforms, but sharp advance in the growth of invested money points to a positive trend of growth and optimism among investors in our platform. We expect explosive growth in 2019 and for the number to reach the milestone of 100 million Euros by the end of 2019. We want to remind that investors can invest from as little as 10 Euros in a single asset and there is no limit as to how much you can invest. Investors can choose if they want to get interest in Euros or our DEB tokens.
The number of deposits picked up slowly in September (36,093 Euros) and October (47,646 Euros), but soared dramatically in November (194,826 Euros) and December (302,169 Euros). The number of deposits effectively increased 737% within the given period of time. Users can deposit flexible amounts on our platform, the minimum being 50 Euros from SEPA accounts (deposits can be done in British Pounds (GBP) from local accounts, and US Dollars (USD) from US-based accounts). All investments in assets are transacted in Euro currency.
Below you can find specific amounts invested each month. As has been said, the investors started slowly in the first two months after the platform launch but became far more active in November in December. December saw a tiny decrease from November, most definitely due to the Holiday season, but the trend remained positive, and we expect each month to show bigger numbers throughout 2019. Most of the assets on our platform are short-term varying from 1 to 3 months, average asset term being 52 days, and the average amount of an asset is 10,750 Euros. Thus, you can choose a flexible amount to invest, or cover the whole asset if you want.
Assets on our platform are put into categories (industries): Wholesale, Services, Retail, Manufacturing, Logistics, ITT, Construction. Construction was the most popular of them as 73.92% of the assets were bought out, despite the fact the interest rates were the lowest of all (represented conservative style). We are oriented to providing the safest possible assets, thus conservative investment assets dominate on our platform. The highest interest rates were in the ITT sector (average 9.13%). The least bought out industry was Manufacturing (16.48%).
Average annual interest rates for the industries ranged from 6.50% to 9.13%. Lending to businesses comes at cheaper rates than those for personal loans. However, default rates for lending to businesses are much lower and our partners loan originators that upload assets on Debitum Network platform are able to keep default rates under 2%. Some p2p platform that will offer very high-interest rates for investments have around 30% of defaulted loans. Thus, we chose a much safer path to deal with lending to businesses.
The statistics point out to positive growth tendencies in all the respective fields. Upward trends point to both increasing trust and popularity of our platform. We know that 4 months period may not be adequate to come to reasonable conclusions and be compared to huge p2p platforms such as Mintos, Zopa or Funding Circle. However, new functionalities, upgrades, upward trends in user and investor acquisition, and an increasing number of assets, as well as qualitative service providers, gives bright prospects for the future.
Right from the start, Debitum Network set a goal to offer the safest possible assets for investors to invest and be a king of liquidity. Initially, assets had guarantees from owners, collateral and pledged invoices. Later, a buyback guarantee was added. Currently, the vast majority of assets have the guarantee, which means that in case the borrower is late with the repayment more than 90 days, the broker (loan originator) will be obliged to buy back the loan with the outstanding principal and interest. This aspect of extra security for funds keeps on boosting investors’ confidence in our platform.
If you haven’t joined the platform yet, it might be a good time to register and start investing and gaining all of the above-mentioned benefits.
Disclaimer: Investments in financial products are subject to market risk and any investment should only be done with risk capital. The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.