Agents: businesses with an already established network of client SMEs, and interested in offering banking services to this group or optimizing a financial service they already provide. The initial focus is on Startups and Fintechs.
Borrowers: any Latin American SME in supported countries that access capital through AmFi Pools using their available eligible assets as collateral.
Investors: investors from developed countries, interested in fixed-yield on-chain investments backed by real-world financial assets.
AmFi Pools: lending pools created by Agents. They are used to generate loans to Borrowers and can be invested by Investors. They are backed by a corporate structure pre-built by AmFi and provide full coverage to the flow of capital, along with all the transparency the blockchain offers.
Junior Tranche: the junior (first-loss) capital segment of the AmFi Pool, funded by Agents or institutional investors chosen by the Agent.
Senior Tranche: the senior (second-loss) capital segment of the AmFi Pool, funded by investors.
Tranche Token: a token representing the investment in a particular pool (either the junior or senior tranche).
KYC and KYP (Know Your Client/Partner): a set of standards and requirements to identify and verify the client’s or partner’s identity, designed to protect against fraud, corruption, money laundering and terrorist financing.
Off-chain: infrastructure required for the AmFi mechanism to properly work, such as bank accounts or traditional payment systems.
Off-chain to on-chain: applications that bring off-chain data and/or assets onto the blockchain, such as collateral tokenization.
On-chain: solutions fully based on smart contracts, built on the blockchain, such as lending pools.
SPV: Special Purpose Vehicle is the legal entity representing the pool for real-world purposes (i.e., loan custody, collection, collateral execution, etc).
Lending Pool: the set of smart contracts that implement the pool's business rules and on-chain cashflow.
Time to Liquidity: pre-determined period of time in which a withdrawal order is effectively executed.