A Lithuanian startup presents a blockchain-based solution to small business financing problem at an event in Vilnius, after raising $18 million in ICO crowdsale – EuropaProperty

On August 23rd, European crypto community members and Lithuanian finance professionals gathered in Vilnius Blockchain center to test an ambitious alternative financing ecosystem – Debitum Network. The platform has raised nearly $18 million during the ICO sale this February and is officially launching its new platform, known as Abra 1.0, on September 3rd.

According to founders of the platform, Debitum Network does not seek to compete with traditional banking – instead, they hope to enhance the current financing market with a mission to foster growth of small and medium enterprises (SMEs), a sector highly dependent on timely financial assistance.

“We do not consider other fintech startups or traditional banks to be our competitors – we invite them to partner with us and hope to create a better future for SMEs together. All of us work towards the same goal – to allow entrepreneurs to be in charge of their companies and get the funds they need in a timely manner,” said Martins Liberts, the visionaire and co-founder at Debitum Network.

Based on the World Bank data, SME sector has the potential to grow from $34 billion to $90 billion by 2020, yet current funding restricts the growth.

During the event, the Vice Minister of Economy and Innovation of Lithuania Elijus Čivilis reiterated the importance of alternative financing means: “The SME funding gap is a global problem. In such countries as Lithuania, where small enterprises are the main economy drivers, projects like Debitum Network are crucial.“

Debitum Network, a platform that connects businesses, investors and services, solves one of the biggest problems that hinders the SME ecosystem from reaching its full potential – streamlining access to the necessary business loans when they are needed the most.

While banks face strong regulative obstacles when issuing business loans, by using Debitum Network investors can simply log in, deposit the amount they want to invest, choose assets from a list and expect to earn 10-15% annual interest.

Platform-testing event attendees praised Debitum Network’s team for delivering on their promise to the investors and launching a product in just 6 months since their fundraising has commenced.

CEO of the Blockchain Center Vilnius Eglė Nemeikštytė said that Debitum Network not only sets a good example for other startups, but also proves a point to the blockchain sceptics. “Debitum Network were the first in Vilnius Blockchain Center community to show blockchain applicability in fintech industry, and were the fastest to raise capital and launch their product. They proved that blockchain fintech projects can keep their promises, stick to deadlines and be efficient,” said Nemeikštytė.

Registration is now open for investors, borrowers and service providers on an innovative new finance platform Debitum Network, officially launching on September 3rd, 2018.