The blockchain technology came into the light in 2016 in Africa. It has proven so far to be a great deal of help for the African continent. Now, small-and medium-business can easily get loans to run their businesses from crypto and blockchain companies enthusiastic about growing the space. Previously, SMEs in East Africa had found it difficult to acquire loans from the bank as they were wary of lending money to these small and medium enterprises because of the risk involved. However, the involvement of the blockchain technology brought a change where each of the SMEs can build their own reputation.
The blockchain technology makes it easy for lending companies to monitor and businesses that can keep healthy business practices and also helps in tracking records and transactions. The blockchain is immutable and keeps a digital document of every transaction,therefore transactional histories and information that allows financial firms to broaden their reach and expand to other regions are accessible on the technology.
SME’s are not the only ones benefiting from the blockchain technology financially as farmers across the continent are getting financial inclusion and services. CEO of 4G Capital, Nairobi-based loan provider, Wayne Hennessy-Barrett says, “If a small-shop owner can take 10 $200 loans over the course of a year and there are 3.25 million small shop owners and 10 times that number of traders, you’re talking about a lot of people who need to buy inventory and sell it and don’t have access to a financial product designed around their needs.”
Some persons have become beneficials of the technology and Janeffer Wacheke is one of them. She had been able to get loans from a blockchain based company, it has helped in the growth of her business. She says, “My prayers have been answered. In business, you need to be fast. The more you pay, the more you get bigger loans, and the more you can sell. It has really helped me.” She was able to gain access to loans through a blockchain-based mobile app developed by International Business Machines Corp. For East African country, Kenya,Microloans account for $6.5 million of a $20 billion informal economy sector of the country.
What do you think about more women getting into the African blockchain space? Share your opinion with us in the comment section below.
Image credit: Pixabay
The Information provided on the website is designed to provide helpful information regarding cryptocurrency subjects. The content is not meant to be used, nor should it be used as a basis, foundational knowledge or prerequisite for decision making regards trading. Always do your own research and due diligence before placing a trade. We are not liable for any outcome based on any content found on the site.
Latest Episode on Inside Blockchain
Crypto News Update
Crypto Bootcamp Community Celebrates Bitcoin Pizza Day Across Africa
The advent of Bitcoin has paved the way for seamless cross-border payments. The demand for third-party intervention in financial transactions...
Explore, Build Assets, Fight and Earn in the Supernova Space
A new economy was opened in 2017 when blockchain was integrated into gaming to produce the first Web3 game: CryptoKitties....
Owl.Games: The Rise of Crypto Games in the Casino Industry
Crypto gaming used to be new a few years ago but it’s going mainstream now. However, there are some sectors...
BCAT Africa: Reducing Unemployment in Africa
One of the greatest lines spoken in the Spiderverse is “with great power comes great responsibility”, although it can be...
Gamified NFT Platform Trove Announces Launch Partners SideQuest
Trove has announced its new Launch Partnership with SideQuest, a gamified risk-to-earn NFT collection. It was announced on Twitter today. ...
- Move To Earn: Keep Fit, Sport, Connect and Earn on the Calo Metaverse
- Top 5 Move-to-earn Applications on Google Playstore
- Top Move-to-Earn Projects Below $100 Million Market Cap
- MetaRuffy: An Intersection of Blockchain, Web3, VR, and AR
- Crypto Bootcamp Community Celebrates Bitcoin Pizza Day Across Africa