In Daskapital, the interest rates are determined by the promotors and investors themselves.
1) In the first place, project promoters, when applying for funding, input the maximum rate they are willing to pay for the financing. It's important to note that the higher the offered rate, the more interest it attracts.
2) Subsequently, when the offer is made public, investors compete with each other to finance the project. To do so, investors declare the minimum return they are willing to accept.
3) During the auction process, investors' bids are ordered in increasing order of interest rates, and the final interest rate is set by the lowest bid that does not receive funding allocation through this ordering.
If you need further clarification, don't hesitate to get in touch with us at support@daskapital.eu.
