What is Kambo?
Kambo is a financial service that provides non-purpose loans* backed with crypto-assets (BTC and ETH, more cryptos to be added soon).
Non-purpose loans: A type of loan that uses an investment portfolio as loan collateral and the proceeds of which can not be used to purchase, carry or trade securities. This type of loan allows investors access to funds without having to sell their investments. Regulations require financial institutions to disclose whether a loan is a non-purpose or purpose loan, and borrowers are required to indicate the purpose of the loan.
How does Kambo work?
Here's the basic process you use to obtain a loan:
Step 1: Sign-up and provide necessary onboarding information and apply for a loan.
Step 2: Once your application is approved, transfer cryptos to your Kambo Wallet.
Step 3: Receive a wire transfer to your designated bank account.
Step 4: Repay your loan and accrued interest.
Step 5: Withdraw your cryptos from your Kambo Wallet.
Who's behind Kambo?
Kambo is a part of the Global Kapital Group family (www.gk-group.com).
Global Kapital Group was established in 2010.
The Group has grown in a mere eight-years to a global financial technology company, with offices currently across 18-countries and a total workforce of over 1,000 people.
The phenomenal success has been realized through relentlessly innovative people who are constantly pushing the boundaries in fintech-innovation for the benefits of its customers.
GK Group's myKredit ( https://mykredit.com/ )has extensive lending experience with more than 29,000 unsecured loans issued since 2015. Kambo is leveraging the group's technical know-how and expertise in the lending space.
Why use Kambo?
Kambo is ideal to unleash the true potential of your crypto holdings. Investors can receive immediate funding for their otherwise idle assets. By unlocking the value of digital assets, investors can leverage their portfolios or satisfy other liquidity needs with a Kambo Loan.
Why use blockchain assets as collateral?
Cryptos are a great collateral for non-purpose loans since they are easy to transfer and liquidate compared to other assets such as real estate.
How fast is the funding process?
Loan funds are released within the same day once the collateral is received.
How much does Kambo charge?
Kambo's early bird special APR is 14%.
When is interest due?
Interest is accumulated daily and can be repaid with cryptos or fiat currencies. Accumulated interest is collected when the loan is being paid-off.
Can I repay my loan with cryptos?
Yes, Loans can be paid off using cryptos.
Are there any other fees associated with a Kambo Loan?
No. The only fee associated with a Kambo loan is the accrued interest. There isn't an origination fee (typically 1% in most financial firms) or any other hidden fees, including any sort of prepayment penalty.
Do I need a good credit score to borrow from Kambo?
No, Kambo does not do any credit checks.
Are loans personally guaranteed by borrowers?
No, loans are backed by crypto-assets and do not require personal guarantee from the borrower.
When do I have to pay my loan?
Kambo offers 12-month loans with the ability to renew or re-pay the loan anytime during its term.
Can a loan be repaid early?
Yes, loans can be repaid anytime without incurring any additional fees.
Is there an early payment penalty?
You can use your collateral to repay for your loan.
What happens if I cannot repay my loan?
There are no prepayment penalty associated with Kambo Loans. This implies that a borrower can repay a loan anytime without incurring any fees.
What is LTV?
LTV stands for Loan-to-Value. For Kambo Loans LTV is calculated as following:
(Total Loan Amount + Interest Acumulated) / Net Value of Assets
What are the LTV requirements?
Kambo Loans have an LTV requirement of 50% upon initiation. If your LTV ratio rises above 75%, you may be asked to provide additional collateral to keep your loan in good standing.
If your LTV ratio rises above 80%, we may liquidate some or all of your collateral to service your loan.
Where is my crypto held?
All Kambo deposits are held in escrow accounts at exchanges we have partnered with (Bitstamp and Itbit).
Are there any limits?
Yes, currently the minimum loan amount is 1,000 USD. Loans above 10,000 USD are reviewed on a case-by-case basis.
Will Kambo do an ICO?
No. Kambo is a part of an already established fintech group and does not need external funding or fund-raising.
Are there any geographic limitations?
Kambo does not serve countries in the OFAC list.
Are there any other limitations?
Kambo does not serve any PEP or any individual in the OFAC sanctions list.