We are happy to announce that Kviku has joined our platform and became our first loan originator with operations in Russia.
It is one of the most innovative European Fintech non-banking lenders providing instant credit solutions. It holds a microfinance license and is registered with the Russian Central Bank. Kviku has made a big step forward last year when it expanded its global presence by entering the markets in Spain and Kazakhstan. “This is just another proof showing that we are doing our job well. Bondster can top up with other P2P platforms and attract strong players from abroad allowing our investors to diversify their portfolio”, says Filip Cermak, COO of Bondster.
Established in 2013, Kviku provides customers with virtual credit cards, POS (Point of Sales) loans and installment loans (available only for repetitive clients). The milestone of USD 20 million of issued loans was achieved in 2018. Moreover, the company is planning to expand and increase this number above USD 50 million this year. Company is based in Cyprus.
One of company’s key competitive advantages is the machine learning credit scoring system which allows it to keep the leading position in online-lending sector in Europe. Internal scoring algorithms have the ability to analyze 10 thousand parameters from over 30 databases within 20 seconds. Furthermore, with the help of its in-house behavioral scoring, Kviku can identify a person’s digital footprint and successfully prevent fraud applications.
Investing in Kviku’s Russia-issued loans brings you a unique opportunity to diversify your investment portfolio. Russian non-banking market is one of the most regulated in the world with strict requirements from the local Central Bank. All loans on Bondster will be offered with buyback guarantee which is triggered after a delay of 60 days.
Below you can find a short interview with Nikita Lomakin, Kviku CEO and Founder:
What do you expect from cooperation with Bondster?
Bondster is a prominent player in the European market, which opens up new opportunities for everyone who wants to safely invest in loan products. Kviku has a good experience of working with international investors, who receive high returns on their investments. For us, this is a great opportunity to further integrate into the global capital markets. We expect that this cooperation would bring an additional incentive for the development of each of the partners.
What are your plans for this year in terms of expansion and development?
Over the last few years, Kviku has made substantial progress on its core Russian market. Mostly it became possible after we launched a brand-new product – virtual credit card. As of today, there’re still no similar credit products in Europe, as we were the first ones to issue virtual cards with credit lines compared to prepaid cards issued by traditional banks. I believe we have created the most instant credit product ever. It requires just about a minute to start using it after you apply for it.
Last year we celebrated our 5-year anniversary. It was the first significant milestone and we managed to reach top positions in the local ratings as one of the largest Russian MFIs´ portfolio wise. Last year we also focused on other global markets where our business model could allow us to compete up with local online fintech players. In the middle of 2018, we started to provide our services in Kazakhstan and later on in Spain. We are full of determination to move forward to countries like Poland, Georgia and South East Asia later this year.
How do you evaluate current business environment for non-banking lenders in Russia today and how do you see its development in next years?
Historically, the Russian MFI market has been focused on the payday loan segment (PDL). Of course, working in this niche is usually associated with increased risks, but because of high-interest rates, microfinance companies received good profits. Over the past few years, the situation has changed a lot, primarily due to stricter regulation. Now, for staying in the market and maintaining its leading positions, a company must offer competitive products and better assess its credit risks. In general, the market has become more developed, which is undoubtedly good not only for borrowers, but also for investors in fintech companies looking to receive returns exceeding traditional bank deposits.
Profile of founders, background of the company
Nikita Lomakin (Kviku CEO) graduated from Moscow State University with a degree in Mathematics and Cybernetics in 2009. From 2009 to 2012, he worked in Moscow and London offices of Morgan Stanley, where he specialized in the public issuance of Eurobonds and commercial papers, as well as derivatives for corporate and banking issuers. From 2012 to 2015, he worked in the international debt capital markets of VTB Capital Group in Moscow, participating in the placement of public debt securities globally. In 2013, together with his partner, Veniamin Lipsky, he founded Russia's first online POS-lending service, Kviku.
Veniamin Lipsky graduated from the Moscow State University with a degree in Economics in 2007, and in 2009 received a master's degree in Corporate Finance. He worked in companies, specialized in strategic consulting, auditing and financial services. He moved on a full-time basis to Kviku from the role of Vice President in Sputnik Group.