Collateral Realization is the process of selling collateral after a borrower defaults.
On 8lends, this process is handled by Maclear AG as the Collateral Agent in accordance with the borrower's local jurisdiction. It usually takes 1 to 12 months, depending on the type of collateral and the jurisdiction. Recovery rates generally range from 60–90% for real estate, 40–70% for equipment, and 50–80% for accounts receivable.
The platform has been audited by CertiK and Cyberscope, and all transactions are publicly visible on the Base blockchain. Two companies with clear responsibilities stand behind the platform: CLEARCHAIN CORP operates the platform and is registered as a Money Services Business with FINTRAC (Canada), and Maclear AG conducts due diligence and monitors collateral. So the platform is well regulated, transparent and accountable
If the project has BuyBack, the partner buys the loan and returns 100% of the principal once it is overdue for 60 days or more. Without BuyBack, Maclear AG initiates the sale of the collateral, and the proceeds are distributed proportionally among investors. Since launch there have been no defaults
The platform is operated by CLEARCHAIN CORP, registered in Canada as a Money Services Business (MSB) and subject to mandatory AML/CFT compliance requirements under FINTRAC. Settlements are made in USD. The platform is not a CASP, so DAC8 requirements do not apply
Small and medium-sized businesses in developing regions do not have easy access to bank financing and are willing to pay higher rates than businesses in the EU or US
You can sell your position to another investor through the Secondary Market before the end of the loan term. With Fastlending there is no fixed term: the principal and accrued income can be withdrawn at any time
The minimum investment is 100 USD
Risk of non-payment by the business, risk of changes in the value of the collateral, risk of limited liquidity if there is no buyer on the Secondary Market, and technical risk associated with the smart contract
Investments from 100 to 500 USD are available without KYC. For amounts over 500 USD, full verification is required: an identity document and proof of address
