The platform Crowdlending EthicHub is based on blockchain technology and announced the launch of its new native token “Ethix”, With the aim of fueling the company’s dizzying growth based on reducing the risks for those who lend to farmers.
The platform, which connects private investors worldwide with coffee farmers without bank details, has developed a token with which the entire wealth of the ecosystem can be recorded. As highlighted on their website, the various functions of this token will allow users to be part of an Impact ecosystem, which in turn can adopt the profile that best suits their needs. The company expects the launch on December 2, 2020.
Also supported by blockchain technology, EthicHub is considering setting up a compensation fund using Ethix, the platform’s native tokenTo create incentive loops with this new initiative to promote the platform and offer economic solutions to small coffee farmers in Mexico, thereby maintaining their vision of contributing to ethical agriculture.
The statement also states that this new launch will first be adapted very closely to its own community and others, and then after its implementation it will be adapted among all users in order to achieve its expansion.
“We have been developing the token for years and are waiting for the right time to start. Now that the volume of credit is starting to grow and the cycle of the crypto world is clearly on an upswing, we believe that it is the best possible time to start trading the market. “as highlighted by members of the Mexican platform EthicHub in their statement.
It should be noted that the use of blockchain technology occupies a primary place in the system as it provides platform participants with complete traceability and transparency in the processes. EthicHub aims to turn this technological excellence into a benefit for farmers.
With a credit rating system in this disruptive technology like blockchain, the company can provide its users with proof of the farmers’ credibility as good payers.
EthicHub is a Spanish startup committed to creating a collaborative ecosystem based on the real and productive economy to have social, economic and environmental impact on a global scale.
The main objective is to improve the socio-economic conditions of smallholders in developing countries; Providing their financial inclusion, increasing their productivity, improving the terms of sale of their production and creating a digital credit identity that can be used in the financial system.
A previous article published on Cointelegraph mentioned that EthicHub is a high social impact marketplace that comes from blockchain technology and connects individual investors with new sources of funding and buyers from around the world with smallholders without bank details. which has the financial support of the Inter-American Development Bank (IDB) through its BIDLab division to develop its large-scale pilot project.
The social enterprise started its project in 2018 with two farming communities in Chiapas, Mexico, which are considered the most important coffee-growing country in the country.. Currently, the platform has more than 120 families and has made nearly $ 150,000 in loans to local farmers, including the communities of Las Delicias, Chespal, Chanjalé, San Rafael, Guatimoc and La Boquilla, who are planning to expand to other Latin American countries.
EthicHub is a benchmark for the use of disruptive blockchain technology applied to financial inclusion with effect. She is wonderfully perfecting the growing crowdlending industry and allowing a small group of people to collectively contribute different amounts of money to fund all of the farming projects in the world.