RenrenBit, a China-based p2p cryptocurrency lending platform, reported financial results for 2019, including $ 600,000 in net income with $ 2.3 million in profit. It is reported by CoinDesk.
The company was founded in November 2018 by Chinese businessman Zhao Dong, also known as one of the investors in the Bitfinex and Binance cryptocurrency exchanges.
The RenrenBit financial performance report, which has not yet been audited, was published on Monday, January 20, and is part of the company's financial disclosure obligation, which was adopted after the end of the token sale in 2019, following which it raised $ 21 million.
According to the RenrenBit balance sheet, as of December 31, 2019, there were about $ 168 million of client funds in its wallets, which is about 70% of all the company's obligations.
Despite the fact that these figures may not seem the largest, the publication notes that the quarterly growth rate of the company as a whole was consistent with the general positive mood in the cryptocurrency market last year.
So, in the fourth quarter, RenrenBit profit amounted to $ 1.4 million, which was almost four times more than in the first quarter. Revenues for the same period amounted to more than $ 640,000, while in the first three months of the year the company suffered losses of $ 175,000.
RenrenBit acts as a broker between cryptocurrency lenders and borrowers who want to get a loan in Chinese yuan or cryptocurrencies secured by other digital currencies, and takes 15% of the profit on each loan for its services. Also, the company, with a staff of 35 people, offers loans from equity. As of December 31, 2019, the total amount of such open loans was about $ 64 million.