Everex, a well established blockchain company developing Ethereum applications, announced yesterday that it is expanding its operations towards global, blockchain-enabled microcredit and fiat remittance services.
In a blog post announcing the new service, the company stated that it seeks to connect two billion un- and underbanked individuals to the global financial system, by allowing them to access affordable instant micro-credit and global fiat transaction services from mobile devices.
Everex mobile fiat transactions are based on the company’s already existing Cryptocash service and its mobile Ethereum wallet. Cryptocash is an Ethereum ERC20 token family, pegged to fiat currencies and tradable on the Everex Wallet, as well as on third-party applications and exchanges. With the new product launch, Cryptocash will be redeemable against its fiat counterpart at ATMs, currency exchangers, and mobile service providers worldwide, allowing users to instantaneously transfer fiat money anywhere at extremely low costs.
The Everex remittance system was already tested last year, allowing hundreds of migrant workers to transfer an aggregate amount of 850,000 THB from Myanmar back home to Thailand.
The new service will also allow users to request micro-loans in any currency from their mobile phones. The credit scores, necessary to assess interest rates, loan periods and risk, will be automatically generated on the spot, based on user behavior, social data, and spending patterns, which Everex collects through the company’s mobile wallet application.
“Generating credit scores on the basis of mobile data will allow us to serve the microfinancing needs of many un- and underbanked individuals which, due to the often deficient documentation and track records in the developing world, had until now no access to affordable credit,” Said Alexi Lane CEO and co-founder of Everex, adding that “Affordable credit is a key element of entrepreneurship and economic empowerment, and we’re proud to be able to provide this service”
The seed capital to launch Everex’s micro-lending operation will be raised in an Initial Coin Offering (ICO) this summer. As declared by Everex, the company will use profits, not directly reinvested in growth, to buy its tokens (EVX) back from the market - insuring that the company’s success is shared with token holders.