From Fastinvest.com's whitepaper:
Here is a real-life example of how this system works:
Mr. Smith has 7 (seven) bitcoins in his wallet, however, he has recently lost his job
as a credit analyst because the company had undergone job cuts. Now Mr. Smith
is unable to pay his mortgage. The traditional banking system is rejecting Mr.
Smiths loan application, because of his bad credit score, and he must find an
alternative solution for not losing his equity.
Here is where Fast Invest steps in. Bitcoin ratio is 1 BTC = 8 234 USD. Mr. Smith
holds 7 BTC, which converts to 57 638 USD. The maximum amount Mr. Smith
could get with crypto-proved lending is 46 110 USD, which is 80 % of the total
Bitcoin value.
For investors, Fast Invest will offer a 20% interest rate to invest in Mr. Smiths loan.
On the other side, Mr. Smith will be granted a loan with 22% interest rate and
will be delighted to utilise his Bitcoin asset without having to sell it. During the
whole term of loan repayments, Mr. Smiths Bitcoin will probably grow in value.
the 22% interest rate applies to those 46 110 USDs that Mr. Smith just borrowed?