Reports have confirmed that Viva Network, a fintech start-up based in Bermuda, has announced that it wants to launch an all-inclusive borderless mortgage products platform.
The Fractionalized Mortgage Shares
The main attraction of the platform is the company’s smart-contract enabled Fractionalized Mortgage Shares (FMS) innovation. This option allows investors who have fixed incomes to crowdfund mortgages across international borders.
This technology is deemed to be extremely disruptive and seeks to provide a better alternative to the ‘traditional’ mortgage industry. It can do so by offering a decentralized evolution of the prevalent mortgage-backed security.
What does Viva want to do?
Viva intends to help the millions of people who have borrowed money and are unable to repay due to the high-interest rates as well as unhealthy local financial systems.
People will be able to lend to people by using the new “VIVA” token, which is a blockchain-powered transfer vehicle. However, fiat currency will be used to deliver loans and also for repaying mortgages.
Viva platform can also be used by people who do not have much knowledge of the blockchain technology. What they would need is access to Viva Networks intuitive web platform. As no one will be at any risk due to any cryptocurrency fluctuations, Viva’s technology is equally beneficial for the lenders.
Even smaller, individual investors will be able to earn from asset-backed mortgage investment vehicles.
It has also been notified that lenders will also be able to take part in an initial funding of a mortgage as well as other purchases and sales.