Many small farmers do not have access to banking. Due to lack of available private capital in their geographical area, they must bid to get it, because the lender capital is limited. This means they offer to pay interests even higher than 120% per year to obtain the required financing. Their crops generate enough benefits to cover these rates, but their profit is heavily reduced, and cash loans do not even leave them with a record of their payment history. On the other hand, socially responsible lenders in developed countries do not have access to positive impact projects with high profitability and affordable risk.
There are about 2 billion unbanked people. Most are agricultural producers. Average financial needs are 792$ so the market is over 1T$. EthicHub is the first blockchain project with a functional blockchain-based MVP that is attacking this niche market. Solution consists on connecting groups of small farmers from developing countries with lenders in markets with excess liquidity. This allows lenders to obtain high returns for their money, while farmers obtain better interest rates and a credit history.
EthicHub want to make a fair distribution of the profits between the borrower and the lender. EthicHub platform fees are only-in-success fees (except for exchange fees). These fees are used to cover insurances, local node benefits, and operative costs. The rest will be spent into development and marketing to bring lenders to the platform.
For more details:
• Web: https://www.ethichub.com
• Telegram groups: ESP - https://t.me/ethichub ENG - https://t.me/ethichubeng
• Twitter: https://twitter.com/EthicHub
• Facebook: https://www.facebook.com/ethichubcrowdlending/
• Youtube:
• Medium: https://medium.com/ethichub