LIBRA CREDIT: ENSURING EASY ACCESS TO CREDIT WITH THE AID OF BLOCKCHAIN TECHNOLOGY

As blockchain technology is going mainstream solving issues which centralized systems couldn't, businesses and companies are adopting it gradually. Blockchain technology can be incorporated in any platform, solve issues and at the same time maintaining its features (data security and protection, real-time transactions, time stamping).
Blockchain technology has found uses in Finance, Healthcare system etc.
Talking about financial systems, access to credit has proven to be tedious with most individuals ending up not getting it.
A study has shown that despite the overwhelming growth of secure retail lending together with digital lending, over 2 billion people remain underserved with little or no access to credit or financial services.
Access to credit should be free and simple, but owing to the outdated nature of the traditional financing system, it has resulted to a long cycle of rigorous processes with a high cost of capital. Owing to this, depending on the traditional lending system such as banks, insurance agencies does not solve any future problems such as getting credit as at when due.
A study has also shown that with digital lending going mainstream, many opportunities will be discovered, most especially among the under-banked, thus with proper utilization it will be an outstanding addition to the credit lending market.
The solution to the issues limiting the credit markets together with the promising benefits has been made a reality by a project called LIBRA CREDIT.
Libra Credit is a decentralized lending ecosystem with the aim of offering open access to credit globally with the aid of blockchain technology.
Like earlier stated, there are issues which limit the current credit market as well as posing as a stumbling block to the mainstream adoption of digital lending. Crypto asset holders are not left out.

THE PROBLEMS

1. In Terms Of Traditional Credit Services;
   A. Borrowers: Individuals in this category are faced with an even harder situation, such as cross-currency and cross-border restrictions, in addition, they are denied access to credit due to limited credit data.
   Individuals in this category lack borrowing experience due to the following reasons;
   i. Complicated KYC procedures,
   ii. Low application transparency,
   iii. High processing time,
   iv. High borrowing cost (10%) as can be seen in the world bank.
   B. Lenders: Lenders are faced with difficulties as a result of lack of traditional records together with the cost of opportunity of the uncaptured understanding of the digital market segment.
2. In Terms Of Crypto Market
   A. Liquidity Issues: Crypto holders find it difficult converting to fiat currencies. Lack of liquidity and integration into fiat financial systems also tends to limit the mainstream adoption of digital lending.
   B. Limited Applications: The crypto space is so volatile, thus there is little or no guarantee on an asset. Also, cryptocurrencies are yet to be adopted as a means of payment.

THE SOLUTION

The simple solution to this challenges is LIBRA CREDIT, HOW?
This is solved via its business model.

1. Flexibility for Participants:
   i. Borrowers can utilize "Crypto-Stablecoin" as a means to protect themselves amidst the volatile nature of the market.
   ii. With Crypto-Crypto lending, borrowers will have the opportunity to trade altcoins against mainstream cryptocurrencies like BTC, thus offering better liquidity.
   iii. The Crypto-Fiat loan will enable Individuals to spend fiat with cryptocurrencies as collateral, at the same time not letting go of their crypto position.
2. Proprietary AI-based Credit Assessment Framework:
   i. With the help of artificial intelligence, in-house risk management technology has been deployed in China and ASEAN market.
   ii. Libra leverages dual-credit assessment framework considering the viability of the collateral as well as the borrower credit score.
3. Extensive Partnership Network:
   To offer outstanding solution and growth of the platform, Libra Credit collaborates with partners in both crypto and financial systems. This thereby reinforced Libra Credit. The partners include;
   a. Cryptocurrency Exchanges,
   b. Stablecoin provides like Maker DAO,
   c. uPort, in charge of identity verification,
   d. Assets managers and banks.

CONCLUSION

The Libra Credit token LBA is an ERC20 token built on Ethereum blockchain with the total supply of 1,000,000,000.
The Libra Credit token LBA will be used for the following purposes;
a. Payment of membership,
b. Used to pay for every successful transaction,
c. Can be used to pay for referral (introduction of new members) and for services (for developers),
d. For governance, that is helping in platform development planning by partaking in surveys etc.
With the conclusion of the token sale, Libra Credit can proceed in accordance with the roadmap.

TEAM AND ADVISORS

INVESTORS

TO KNOW MORE ABOUT LIBRA CREDIT

Join the Telegram Group: https://t.me/libraofficial

Follow on Twitter: https://twitter.com/LibraCredit

Follow on Medium: https://medium.com/libracredit

Follow on LinkedIn: https://www.linkedin.com/company/18560125/

Website: https://www.libracredit.io/

Whitepaper: https://www.libracredit.io/page/Libra_Credit_Whitepaper.pdf

Writer: Emmy92