SOFIN (Social Financial Network) — the international fiat P2P-lending online service based on blockchain. This marketplace platform, that brings creditors and borrowers together: Creditor — individuals, banks, microfinance organizations and funds; Borrower — individuals, entrepreneurs, and organizations.
The foundation of our platform is the legal purity of the loan agreements.
We will check the borrower through credit scoring and the full verification system (ergo contacting the borrower, the employer, etc.) and the request of credit histories from the credit bureaus.
Depending on the responses received, each borrower will be given a certain ranking. When registering for the service, each client provides scanned copies of their identification documents (Passport, TIN, IIAN) and passes verification. We will also check the data that was provided to transfer the funds: for example, verify a credit card.
SOFIN (Social Financial Network) — P2P-lending online service based on blockchain. This marketplace platform, that brings creditors and borrowers together:
Creditor — individuals, banks, microfinance organizations and funds
Borrower — individuals, entrepreneurs, and organizations
Loans are issued in a fiat currency of the borrower country of residence. This allows the currency to be exchanged through the SOFIN token among creditors and borrowers from different countries. On our website you can see the demo version of the platform.
SOFIN mission – to remove barriers and borders to grant the less developed countries access to financial recourses. We will address the daily needs of average individuals and entrepreneurs, opening up decentralized access to finances on the terms convenient to both parties, and not to a financial bank entity or any other intermediary.
Each potential borrower must undergo a verification process based on the methodology we have developed and tested—proved to be successful in our online-IFI. Each verified borrower will be awarded a credit rating, which will aide the prospective creditor in the investing decision. In every country, our local representative will correlate the local merits of credit scoring (ergo, analogous
NBCH, FSI, RPF, FSSP, etc.) for the most accurate risk assessment. Our level of pre-judicial settlement is 17%. This is a very high rate for microcredit market. Legal purity and transparency of each transaction. The loan is given in the fiat rate in currency of the borrower, according to the law. Therefore, creditor has a clear and legitimate reason to repay his loan.
Verification takes place within the following parameters:
Passport validity of citizenship
Verifying borrower in the executive productions data bank
Checking borrower for bankruptcy
Convictions and trials currently in progress
Database of terrorists and extremists
Verifying the credit score of the borrower in the credit ratings bureau–only banks and microfinance organizations have access to credit ratings under the law, our access will be provided through the IFI’s partner
IP address of the borrower
Social media networks—there are more than 10 factors per network
Employer organization for existence at TIN\PSRN\Name
Location of the borrower on cellular data
Bill payment history, such bills like telephone, utility, etc.
Verifying contact information of the borrower
We will integrate the local verification services in every country (read more on how to connect new countries in the Road Map).
Using Tokens in the System
The tokens within the system will be used as follows. The creditor (or the pool of creditors within a single loan) and the borrower will the same fiat rate currency. The creditor will be able to exchange one fiat currency to another using our tokens in the system. The entire loan amount is distributed in fiat. If a part of the loan is in cryptocurrency, the system automatically converts the loan to fiat currency of the borrower. The borrower pays a percentage to the system before receiving credit (up to 5% of the amount in SOFIN tokens that will be purchased automatically from the exchanges). This is the main source of income of the service: these funds are used to pay the bonuses and cashback in SOFIN — 1.5% to the borrower and 1.5% to the creditor. When the borrower repays the loan the creditor will have a choice to get the entire income in fiat or take a part of it with tokens. Also a part of the loan amount (1.5% to the creditor and 1.5% to the borrower) will return with tokens as cashback. A part of a loan (up to 20%) can be issued with tokens that the system will automatically buy and transfer to the fiat currency for the borrower. The integration of other cryptocurrencies with the possibility of issuing loans up to 100% will be pursued. Tokens can be used as an intermediate link in exchange of one fiat currency to another to issue loans in the currency of the borrower. Token holders will receive some advantages over ordinary users of the system (external differences in the service interface, more profitable bonus terms, etc.).
Why Do We Need Blockchain?
Transparency of all transactions performed on the platform – all reporting systems can be verified
Automated processes through smart contracts
Convenience in working with cryptocurrencies on Ethereum ERC 20
Integration with other projects on blockchain (such as registers, credit scoring, statistical services)
Reliability and fault proof
Benefits of SOFIN Tokens
A part of the loan (up to 20%) can be issued with the SOFIN tokens that the system will automatically buy at a profitable rate and transfer to fiat for the borrower. The integration of other cryptocurrencies with the possibility of issuing loans up to 100% will be pursued.
Tokens can be used as a mediator link in exchange of one fiat currency to another to issue loans in the currency of the borrower.
Large token holders will be identified as trusted members of the system. They will have more profitable loan terms, if necessary. Such holders will receive a bonus — a two-fold fee of the system to make loans for their tokens. The system will provide a guarantee for such borrowers in case of a default, that will cover the loan instantaneously by taking it as a loss out of the company funds. However, in the future the delay of funds will be covered via purchase of mortgage tokens from the borrower. These borrowers will thus have the highest ranking in the system and, as a result, will be able to attract investments on the most profitable terms, as the investor will ask for a minimum low rate of risk at almost zero
Token holders will receive some advantages over the common users of the system (ergo, external differences in the service interface, more profitable bonus terms, etc.)
The P2P system will receive the fee, up to 5%, in the SOFIN tokens, which will be automatically purchased from the exchange on each loan. This is the main source of income of the service: these funds are used to pay the bonuses and cashback in SOFIN — 1.5% to the borrower and 1.5% to the creditor. When the borrower repays the loan the creditor will have a choice to get the entire income in fiat or take a part of it with tokens.
Electronic Loan Agreement
A loan agreement signed by an equivalent handwritten signature has legal force in the RF, USA, EU and other countries and regions of the world. The EHS is generated by the platform by sending the digital code to the mobile phone of the contract party. All the relationships of the sides on the platform are through the electronic workflow through the preparation of the platform and the signing the relevant documents by the parties:
Extension of a loan
Issuance and withdrawal of bail
A surety agreement
Assignment of a claim under an obligation arising from a contract
Investor, Decentralized Economics Researcher, Crypto Visionary, FinTech Pro, Startup Mentor and Advisor
Rated on Apr 16, 2018
0. Idea and principles behind the SOFIN P2P loans is OK. These would work, been them developed and delivered in a full compliance with the modern AML, KYC and loan international regulations and industry requirements.
1. No Team KYC done.
2. Team doesn't show any adequate to the task international business connections.
3. Team has some very strong professionals, yet I can see how very important positions are
4. Seychelles domicile is a big no-no for far too many reasons, if you are going to be in any type of the retail financial business in any developed country. Cost of operations and compliance will sky rocket the very same moment, when some of your local partners/agents/operators will be regulated outside of Seychelles.
5. Costs for any international litigation is inadequately high for the majority of small and medium loans. It is unclear, to what degree the SOFIN team will support a creditor in a case of a loan default, yet it is clear, that it will cost a lot either to a SOFIN (hurting it's financials) or to a creditor (hurting SOFIN's reputation).
6. Borrowers verification with a credit card doesn't look good at all.
7. Tokenomics looks to be disadvantageous for later ICO investors.
8. This team has a micro financing business in Russia. Which is good in terms of experience. What is bad about it, is that microfinance institution charges 2% per day (which would be a up to 2700% annually with a daily compound interest). Sounds more like a loan shark business to me. I would argue, that it hurts more than it helps the community.
Overall feel is that this ICO campaign is poorly managed or simply neglected by the founders.
UPDATE 15.04.2018: given some updates of the project, rates have been just risen. Yet there are some unsolved issues on the surface.
Experts are independently and voluntarily contributing to the community. If no expert has rated the ICO, only ICO analyzer's results are used. Always research before investing as these ratings should not be taken as an investing guide of any kind.
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Partner at VC arm of one of the largest family offices in Eastern Europe. Helds M.A. in Finance and Law.
Co-founder, Chief Investment Officer of of Micromoney. Successful entrepreneur, experienced negotiator, creative marketing expert. Mr. Dzyatkovsky is experienced in development of financial companies in entirely new markets.
Giovanni Lesna Maranetto
Business Strategy. Chief Commercial Officer at Hedge/Blocktrade.com , Advisor / Blockchain Strategist
CEO. Professional financier with 17 years of experience. Led the units of the leading banks, created the Regional Guarantee Fund, president of the Board of Directors of online microfinance organizations. A lot of certificates and awards, including IFC
Chief product officer. More than 10 years of experience in creating software products. Founder, CEO of Elonsoft, IIDF tracker, formerly Deputy Director of the Southern IT Park (OJSC "Regional Development Corporation"), founder of IT61-Rostov IT communit
Chief blockchain officer. Head of research and development department of blockchain. Entrepreneur with experience in offline/online business projects. Experience in developing Web projects for more than six years. Has experience in cryptotrading
Chief technology officer. Experience in the development of more than eight years, technical Director in Elonsoft, a member of the Google Chrome team, in the past the maintainer of Phantomjs and the developer of "Yandex. Browser".
Chief legal officer. A lawyer with a 16-year-old practice. He was the head of the legal department of the largest building concern of the Rostov region. Since 2012, he has been the head of the law firm "VERUM" (verum-law.ru). Provides legal escorts for c
2010 Rostov region guarantee fund
2011 Offline MFO Expressmoney
2012 Opened the Verum law firm
2013 Miming rigs, cryptotrading
2013 Opened the Elonsoft IT company
2014 Private P2P loans to entrepreneurs
2019 Launch of one country per quarter
August 2016 Launch of MFO Loan CLub
August 2016 P2P platform concept
December 11, 2017 ICO
July 2017 - to date Commencement of system development
Q1 2018 Token on exchanges
Q1-2 2018 Launch of the platform in Russia and the Guarantee fund option
Q3-4 2018 Launch of the platfrom in the CIS countries