FAQ

TLDR;

Yumi provides infrastructure for crypto cards, allowing them to issue a credit card backed by onchain loans and credit profiles. Yumi handles all the risk, and the integration is minimal - we work alongside your current infrastructure, financing logic, and support VISA/Mastercard debit cards (no need to "issue" a credit card).

TLDR: How does it work?

Our loans are purely uncollateralized. Because we

• KYC the user - we know his identity, so we can service the bad debt if needed.

• Underwrite the user - we use their wallet, bank, and other data sources to assess the risk with AI and algorithms.

How do you underwrite the user?

We underwrite them based on a mix of onchain and offchain data. The card provider can share the available data with us, or we can request it directly from the user. We use zkTLS and Open Banking to access users' credit scores, employment status, tax reports, and other data to underwrite people around the globe better.

What is the APR? Is there a revenue share?

Yumi's APR is 14% average. As a card provider, you are free to add any markup you want. You can configure this in our dashboard (TBD).

Does the user have to pass KYC?

Yes. They need to prove their identity by completing a zkKYC (scanning their passport/ID), connecting their bank account, or providing another valid form of identification.

How do you handle repayments?

There are two options: the automated repayment from the card account or a manual repayment from any account the user prefers.

How do you handle defaults?

We work with debt collection agencies to service the bad debt. In some cases, we can freeze assets on a user's account.

Would we need to issue a credit card?

No, your entire infrastructure can stay the same. We work with regular VISA/Mastercard debit cards. The only difference is that instead of taking the money from the user's wallet, you take it from our pool.

Do we need to change any of our existing logic?

The integration is minimal. Backend: You must call Yumi's API only during the authorization and settlement phases. We don't introduce any delay. You can read more inAPI. Frontend: We will provide a React Native SDK for you to integrate our KYC flow into your app.

Do we need to deploy any new smart contracts?

No. It is backend/frontend integration.

Do you work with both JIT and a Pre-funded model?

Yes, we support any card infrastructure.

What is the credit limit?

We're planning an initial average limit of ~$500 per user. That is adjustable according to the customer profile.

Who funds the user's loan? Who's responsible for defaults?

Yumi takes on ALL the risk. We use private capital and, later, DeFi, to fund the loans. If a user defaults, Yumi eats the loss (defaults are fully accounted for in our model, so Yumi can afford to do that and remain profitable).

When does Yumi fund the loan?

We support funding both during the authorization phase (the card provider can pull funds from our account) and in batches at the end of the day (any period). This depends on your compliance and risk management preferences.

Is there a demo live?

Yes. Please contact us to schedule a live demo or get the Loom video.