Capital Financing with HBD
The power of banking and investing in this world is unmistakeable - unmissable - there are super powers to numbers that when applied the right way, with the right analysis and the right leverage, can lead to a better future; you might call this "sustainable development".
Money is a tool and, like all others, the results depend on how you use the tool, how you put it to work.
Recently I used @ecobanker to team up with @thedistriator project to do something pretty creative, and clever, with money - specifically HBD. And today I would like to explain why I did, what I think it means for the future of HBD (and Hive), and what I am watching for in the process.
Read the official announcement here.
How sustainable development is related to money
When we first created the Ecobank, which is Ecobank Development Colombia SAS, a lot of people asked me about the word "bank" in there. Why "bank"? Would I give a loan?
I mostly hedged, saying it was a "banco de proyectos", which - it is. At least in my mind, this is how banks "should" work, to have a portfolio of productive projects that they invest in.
When I met @starkerz in Talent Land Guadalajara, we talked about all sorts of things related to HIVE, economics and development. One of the things he mentioned was this idea to pool capital and create the first HBD loan, specifically to @fokusnow who has a profitable and growing "Happy Customer Supermarket" that is built, in a very real sense, "on HIVE".
How could I say no to that?
As if a bank...
So @ecobanker took 200 HBD of "customer deposits", and capitalized THE FIRST, #spendHBD business loan. I am proud to be a part of that. And I hope to continue to be a part of things like this - that continue to get built on and around HIVE - and I hope to continue to see more "reputational lending" in this vein.
I believe this sort of "real world" connection is essential for HIVE, its at the core of ECOBANK at least - a real company, with hard asset exposure from the "legacy" system. Let's not kid ourselves, LAND and GROCERIES, for example, are not "legacy" - they are still an essential part of everyday life for everyone on the planet. Crypto won't take away from that - in fact these technologies need to be ADDING VALUE to exactly that real part of our lives - what we eat, where we live, how we relate to our communities.
Banks are (could be?), or at least are supposed to be, valuable members of the community, identifying productive investment needs and deploying capital to the benefit of all involved. I want to thank both @fokusnow for having such a business that deserves investment, and to @starkerz and his team at @distriator like @sagarkothari88 for all the great work they have done building a community, and a community of tools, for people to connect with.
I don't know what is next - keep an eye on @fokusnow to find out!
I showed Jerson (from the pan the yuca bakery) what Focusnow has been able to accomplish. He says to me yesterday... "I could basically stop using Ecuadorian banks for lines of credit altogether with crypto?" - All I had to do was smile back...
This move is setting the blueprint on how we opt out completely from trad fi, and I love it.
You are part of a smart team that has created history in web3 and Hive. The first HBD loan ever to be given to finance a physical business thousands of miles away from you. This much-needed financing has boosted sales, increased inventory and literally just smiles on customers faces as they find what they wish to buy anytime. The human, business and financial impact of this loan is massive. With time, it's going to be obvious. We are already planning to do bigger things. Thank you so much for this massive intervention. It's going to be a win for all parties involved.
I am proud to be a project-focused community bank in a digital world. Thank you for all your hard work and - KEEP IT UP!
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Hola @ecoinstant, qué buena noticia esto, realmente es una buena manera de llevar un apoyo concreto fuera de Hive a las comunidades necesitadas, impulsando los pequeños comercios, que son los que resuelven los problemas de las personas en las comunidades.
Creo que esta iniciativa es fundamental, ya que permite un financiamiento real, fuera del sistema bancario tradicional, al cual todos les conocemos sus fallas.
Además, se está financiando fuera del sistema de la moneda FIAT, lo que en realidad demuestra que puede haber una opción para una economía real a través de las criptomonedas.
Se están apoyando proyectos, con un criterio más humano que financiero, sin dejar de lado la importancia de ambos proyectos.
Realmente me parece un proceso maravilloso, que vale la pena continuar, además de hacerle seguimiento y evaluar, para ir mejorando los procesos de financiamiento en la medida de lo posible y que bueno, que esta iniciativa se tomea través de Hive.
Hi @ecoinstant, what good news this is, it really is a good way to bring concrete support outside Hive to communities in need, promoting small businesses, which are the ones that solve the problems of people in the communities.
I think that this initiative is fundamental, since it allows real financing, outside the traditional banking system, to which we all know its flaws.
In addition, it is being financed outside the FIAT currency system, which actually shows that there may be an option for a real economy through cryptocurrencies.
Projects are being supported, with a more human than financial criterion, without neglecting the importance of both projects.
It really seems to me a wonderful process, which is worth continuing, in addition to monitoring and evaluating it, in order to improve the financing processes as much as possible and how good that this initiative is taken through Hive.
Este post fue votado desde Ecency.
!HUESO
!LUV
Exactamente, en tiempo real y a la velocidad de humanos no de robots. Por eso de pronto no todos vean la significancia, pero es muy, muy real.
Absolutely, money is a very powerful tool and using it wisely and thoughtfully can create real opportunities for sustainable development and improving people’s lives.
In the same way, success can only be achieved with the support of each other. You are part of this team and you are helping people and giving them money for some time and then they are setting up something of their own. This setup can be of any kind. This gives people a lot of support to stand in their lives.
This is very exciting news indeed! This could certainly be the start of something quite big! I'm really looking forward to seeing how this unfolds! Excellent job, my friend! 😁 🙏 💚 ✨ 🤙
I definitely agree that it's great, maybe even strange that it's the first of its kind on a blockchain like Hive, which is around for years.
I was wondering a couple of things:
I guess the interest will be higher than 15% as the deposit interest to stake hbd is 15%? Not sure if you could disclose ofcourse. For me that sounds like a very high interest (atleast compared to my part of the world). I have absolutely no idea how interest rates are around the world / how banks work in term of being able to get a business loan etc.
Is there any kind of collateral? Or is it the reputation of Fokusnow which worked as collateral? I recently saw someone sayîg that in the future our reputation would become more and more important as ai grows. Or do you know fokusnow on a personal level?
Don't get me wrong, I definitely think such business loans are awesome and shows the value of Hive, borderless businessloans but it just made me reflect 😅
Microlending in my part of the world is ~45% and my credit card charges me 29% annual. But I do agree that with this system in mind, the 15% no risk fixed apr on savings is a bit of an obstacle.
Ohhh, that are insane rates. Okay, than lending through hive makes it even greater!
Hive market cap should be $ 3 B.
It's a beautiful way to get a very significant and potentially world changing ball rolling!
What strikes me as super important here is particularly making that distinction between "legacy" and "life." The Cryptosphere has a tendency to slap a (often inappropriate) label on anything that isn't blockchain or defi as "legacy" — and hence negative — when, in fact, these things are simply life.
The problem with that mindset is that it assumes crypto to be the product, when it is actually just the vehicle to allow all sorts of transactions and projects.
Anyway, great stuff!
=^..^=