Building human based economics
- ICO start: 20. Nov 2018
- ICO end: 18. Dec 2018
Technology: Ethereum blockchain
EthicHub ICO Short Review
Ethic Hub is a transnational decentralised Crowd-Lending platform that directly connects investors from around the world with groups of small unbanked farmers which are selected by a Local Node (project collector) based on their trust circles, democratising the access to financing and allowing money to have no borders. Detected business opportunity consists on contacting groups of small farmers from developing countries who currently offer to pay high interest for cash loans without leaving record of such payment history, with investors in markets with excess liquidity, allowing investors to obtain high returns for their money and at the same time, provide better interest rates for farmers. This is possible due to the difference in the cost of money in their respective economic zones. These farmers do not have access to banking and due to the lack of private capital available in their geographical area, they must bid to get it, because the lender has limited capital. This means that they offer to pay interest even higher than 120% per year in order to obtain the required financing, because their crops generate enough benefits to cover it, even if their own profit gets reduced.