Lending Platform SmartFi Secures $10M via Token Sale Using Innovative Financial Model

SmartFi, the open lending crypto platform, which went live in July 2021, has secured more than $10 million in capital in the first 2 weeks of its “unique” SmartCycle token sale.

Token purchasers buying more than $1 million in SmartFi’s SMTF tokens apiece reportedly include Blockfills and a consortium from the software development team behind the Komodo Platform.

As mentioned in a release shared with Crowdfund Insider, the first 8m SmartFi Tokens “sold out in 24 hours at a price of $.70.” The current price is $1.29, which is “an 85% price increase via the SmartCycle model.”

The update further noted that SmartCycle is “a unique index which charts the release of SmartFi tokens to fund loan demand; the more loan demand, the higher the price of the token.” Under existing loan demand, the index “forecasts a token price of $8.14, an increase of 575% from the current price.”

As mentioned in the release:

“Because of the new unique financial model, SmartFi is able to provide a 100% buy-back guarantee of the original purchase protecting SmartFi token buyers; the same feature also enables the SmartFi token to resist bear market downturns.”

This decentralized finance (DeFi) model is offering improved, safer financial value than “most other platforms, yield farming, staking, coin interest accounts and liquidity mining,” the announcement revealed.

In-process demand for SmartFi’s loans has reached more than $190 million and these will be “released to SmartCycle when the loans are approved.”

Some token sale participants have “funded their purchase of the SMTF token by borrowing against their Bitcoin; this preserves the value of their Bitcoin assets and gives them the new value of SMTF token.”

The success of the SmartCycle has enabled SmartFi to compete with more conventional lenders such as banking institutions, “funding non-crypto related loans, including the first $2 million in traditional small business loans.” These borrowers do not know that their loans “are funded by cryptocurrency value,” the announcement clarified.

SmartFi CEO Aaron Tilton stated:

“We believe that when the average person’s financial dealings are impacted by cryptocurrencies unknowingly, that is when the true potential of cryptocurrencies is unleashed. SmartFi is doing just that: competing with traditional lenders to provide dollar loans, using crypto as the underlying asset.”


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