September 22, 2024

On the BONDSTER market, you can invest primarily in secured loans. Loans secured by real estate are among the safest. If a loan is not properly repaid, it is either refinanced or the mortgaged property is sold, and the investors’ claims are satisfied from the proceeds of this operation. In addition to real estate, loans secured by other tangible assets (e.g. cars, machinery, etc.), promissory notes or cryptocurrency are also available on the platform. For selected unsecured loans, providers offer a buyback guarantee as protection in case a borrower defaults on the loan. The above-mentioned elements thus significantly increase the security of the investment. However, it should be noted that no investment is completely risk-free which is why we strongly recommend investors diversify their portfolios accordingly. To reduce the overall risk, it is recommended to include a higher number of loans from different providers in the portfolio (note: at least 100 loans from 7 providers) and to combine different types of loans (i.e. secured by real estate, cryptocurrency, with a buyback guarantee, etc.).

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