Bitbond lending platform Bitbond announced its intention to sell security-tokens (STO), which will be the first campaign of its kind approved by BaFin, the German financial regulator. It is reported by CoinDesk .

According to Bitbond representatives, the platform plans to raise € 3.5 million (about $ 3.9 million), which will be used to provide loans to customers.

STO, in which BB1 will be offered for sale, will be available until July 8, but investors from the United States and Canada will not be able to participate in it. The company undertakes to redeem tokens in 10 years.

The Bitbond platform provides loans for working capital to small businesses from Asia, which primarily focuses on e-commerce sites such as eBay and Amazon. To date, the company has issued loans worth over $ 15 million.

“Small business is an extremely important part of the economy. It is in such companies that most of the world's population is employed. We see STO as a way to help small businesses create more jobs and stimulate their own growth, ”said Bitbond founder and CEO Radoslav Albrecht.

Recall that in 2017, Bitbond twice attracted external funding – $ 1.2 million angel investment and an additional 5 million euros from the company Obotritia Capital , which received a share in a startup.

Also based in Berlin, the company is known as the creator of BitcoinPPI – the index of tracking the cost of Bitcoin to Big Mac.

As Radoslaw Albtrecht previously stated , using Bitcoin to issue loans will help companies bypass the difficulties encountered when using traditional financial systems like SWIFT.

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