Invest in people, not portfolios, and you could earn guaranteed returns of 10% or more
Knowing where to invest your money is no easy task.
Do you go for the safe option — a CD or some other low-interest savings account — or do you risk playing the stock market for better returns?
Thankfully, there’s a third option. One that provides the rewarding returns of the stock market but without the risk (and effort).
It’s called Constant P2P lending.
You choose the amount, term, and profit margin — and we’ll match you with someone keen to do business with you.
Here’s how it works.
Secured returns. Low risk.
As an investor, you’ll want to do two things:
- Earn as much profit as possible, and
- Commit to the least amount of risk.
Usually, this involves a trade-off. You take less risk, you earn less profit, and vice versa. But with Constant P2P lending, you can earn 10% profit or more, higher than the average stock market return for the last decade*, without jeopardizing your principal.
How? By only lending your money to borrowers who’ve overcollateralized their loan. They stake 150% of the loan amount in cryptocurrency (bitcoin or ethereum), so if they can’t repay, we sell the collateral to repay you, including your profit, and give them the difference (if there is any).
Similarly, if the value of a borrower’s collateral falls below 110% of your principal plus profit to date, we will again sell it to repay you. Our borrowers then keep the loan, without any adverse effect on their credit history, and you enjoy the returns you were promised.
It’s a win-win.
Triple-protection on your investment.
It’s normal to feel a bit anxious before investing a sum of money — especially when you’re handing it over to someone you don’t know. That’s one of the reasons people go to banks — deposits are usually guaranteed by their governments, such as the FDIC (Federal Deposit Insurance Corporation) in the US.
We want you to feel 100% confident when you invest through our platform. So, we use three different methods to protect your money:
- When not on loan, we store your money across multiple FDIC-insured bank accounts. Collectively, these banks are insured up to $130,000,000, and are managed by Prime Trust, an accredited US trust firm.
- When you invest, everything is recorded in a smart contract. A smart contract is a bit like a computer program — it contains a set of rules and performs actions when specific criteria are met. This removes the need for human intervention, and risk of error, ensuring you and your borrower fulfill your obligations to the letter.
- Finally, every transaction, from making a deposit to withdrawing your profits, is collectively validated by users on the Ethereum network. This is a vast public blockchain containing thousands of independent validators. Once validated, a transaction can’t be altered in any way — the blockchain is immutable, and therefore so is your investment.
UPDATE — September 11th 2019:
Following the Flex upgrade, deposit insurance is no longer guaranteed. Instead, deposits are protected by collateral put up by users of Compound Finance’s liquidity pool. For more information, please read the Flex update.
Withdraw unloaned funds anytime.
You’re not obligated to do anything once you’ve made a deposit. If you change your mind and don’t want to invest, just withdraw your money. But once we’ve matched you with a suitable borrower, you’re committed to the full term of the loan. After which, you can withdraw everything — your original investment and profit — direct to your bank account.
Withdrawals cost 0.25% per transaction, capped at $35, which covers the cost of transferring cash (fiat) to your bank, wherever you are in the world.
Do more with your money.
At the end of the loan term, a couple of things happen.
First, we ask the borrower to repay the loan plus interest. If they pay on time, you’ll see your return within a day or two (depending on how quickly they repay). If they don’t, the smart contract will facilitate the sale of their collateral to deliver the returns you were promised. Since bitcoin and ethereum markets are highly liquid, this will also be very quick.
Second, you have a choice to make: withdraw everything or… do something great with it. Constant is more than just a P2P lending platform. It also offers:
- Free international transfers. Recipients pay atiny 0.25% withdrawal fee, which is cheaper than Xoom, Paypal, and many other money transfer services.
- A stable, digital currency backed by USD. Hedge against economic or market volatility by saving your money in our native stablecoin, Constant. It’s 100% backed by USD, the world’s reserve currency.
- Global payroll solutions. Pay your distributed teams, contractors, and freelancers quickly and easily, without ludicrous cross-border payment fees.
But perhaps the best thing to do — if you can — is to reinvest for an even larger return. You can reinvest as many times as you like, effectively giving yourself a passive income and multiplying your investment.
Whatever you choose, we’re here to support you along the way. Open an account today and enjoy returns of 10% (as of 7 Jan 2020, the market rate is 8%) on your investment.
When you invest in people, not portfolios, your returns are guaranteed.
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