MicroMoney ICO Date: 18th October 2017 to 18th November 2017.
MicroMoney is an Open Source Credit & Big Data Bureau that connects new customers to all existing financial services. MicroMoney A.I. platform uses complex algorithms to predict creditworthiness of all customers and in just 15 minutes a borrower can get their very first loan in his/her life just from their smartphone. All customers have an ability to pay less interest and have a higher credit rating, if they use the platform more often. All aggregated Big Data and Credit Histories are stored on the Blockchain.
As people worldwide lack access to basic financial services, they have limited capacity to overcome poverty and to increase their living standards. That implies a lack of access to both banking services (loans, mortgages, or bank accounts) and access to all other services and opportunities. No credit history means limited access to banking services, which means no loans and, no credit history… However, there is hope to break this vicious circle.
MicroMoney is a team of professionals experienced in working in emerging markets. There are 196 countries in the world, and 100 of those countries represent their target market. Who are their potential clients? They are more than 2 billion of unbanked people, they run cash-only households, have no credit history, have no debts, and widely use smartphones and Facebook. They are the so-called “blue collars” and “white collars”, and SMEs.
In an emerging market, a smartphone can tell everything about its owner, so their creditworthiness can be estimated. No joke, your smartphone knows you much better than even your best friend. So MicroMoney made an app, which gathers 10,000 parameters. They analyze this Big Data using Al Neural Network Scoring and this is enough to obtain a loan approval decision in just 15 seconds. Now, to borrow money using the app is as easy as to order an Uber.
In the long-run, they want to help 2 billion unbanked and underbanked people to build a multi-purpose digital identity, creditworthiness, and financial reputation. Without borders or intermediaries. Their goal is to bring these people to the new global decentralized crypto economy.
At the same time, they aggregate large sets of data reflecting customers’ needs and their online behavior. By sharing and exchanging this Big Data they thus enable banks, financial institutions, e-commerce, and retail businesses worldwide to efficiently scale. They will get access to new customers unserved before, reduce risks while expanding to new markets, and better understand their customers’ needs.
HOW IT WORKS.
MicroMoney provides customers with online loans without any collateral requirements. Clients can get the money by just filling in the application form on the mobile app.
Once the MicroMoney app is installed, the customer signs an agreement on personal data processing. In addition, to the data submitted on the form, the scoring system analyzes the user’s behavior during the application process, as well as his contact list, calls, SMS, web behavior, etc. The also receive data from social networks used by a customer. Eventually, they are able to acquire a very detailed customer profile.
Through the use of the system, they are able to provide microloans to the unbanked and underbanked without a credit history, aggregating Big Data simultaneously.
- MicroMoney provides each client with a scoring record using a global score, similar to “FICO”. MicroMoney credit record database is being moved to the Blockchain, which guarantees safety and credibility of the information.
- MicroMoney is working on incorporating virtual currencies (e.g. Micromoney token, AMM) as the major medium of operation for its services.
Crypto Community: Developing a Crypto Ecosystem.
- According to their long-term strategy, MicroMoney would be part of a crypto ecosystem. Their goal is to enable Blockchain companies to efficiently scale their customer base by getting access to the Micromoney open source credit bureau. Providing their partners with data on millions of un(der)served people, they are going to bring those customers to the new global crypto economy.
People: Providing Micro-loans and Creating Reliable Credit Histories.
- Depending on the country, it’s hard or impossible to get unsecured loans for individuals without a credit record. MicroMoney enables clients with no credit record to take out short-term loans.
- To receive the loan in a bank or MFI, a long list of verification documents and collateral is required. MicroMoney clients get immediate loans by applying online through a mobile app. No collateral or additional documents are required.
- There’s a lack of a centralized credit records database, and a lack of Credit Bureaus in most Asian countries. Therefore, clients can’t build their credit record for the future. MicroMoney enables clients to build and secure their credit records for the future through a blockchain-based credit record database.
- The overwhelming majority of Banks, MFIs, and pawn shops still operate offline or partially offline. MicroMoney grants short-term loans by using an online-only model with no paperwork in just 15 minutes.
- Unbanked and underbanked people are not familiar with types and conditions of financial services they may benefit from. MicroMoney provides its clients with consulting services, explaining how to open a bank account or install an e-wallet.
Businesses: Big data and credit bureau on the blockchain.
- Big Data for Banks. Banks are using extensive budgets to attract and verify their customers. The average US bank pays from $10 to $100 to acquire and check each new customer, with prices in Europe being only slightly lower. Each time a bank sends a credit offer to its client (via SMS or e-mail), it is forced to pay a regular credit bureau, and therefore the cost of an issued loan grows. For MicroMoney, the cost of acquiring 1 reliable borrower is just $1 and banks can buy credit records from the Credit Bureau using AMM tokens.
- Big Data for microfinance, finance, and insurance companies. Businesses may want to expand to countries, where MicroMoney already operates.
- Big Data for e-commerce, and retail businesses. MicroMoney can help e-commerce and retail to get new customers from their database or to better understand what those new customers want. For example, they can determine from a client’s Internet browsing history that he was looking for a baby stroller recently. Therefore e-commerce may offer him to buy diapers at the nearest shop.
- Exchange mechanism. Any business user (for instance a bank or e-commerce company) can exchange his credit records for MicroMoney’s credit records. Both parties profit from this transaction.
Local Partners: Scaling Business Worldwide.
Due to the experience in different local markets and comprehensive marketing and legal research, MicroMoney has developed algorithms for expanding the business to new countries. Currently, they are ready to start an international franchise. Access to MicroMoney’s financial and legal expertise will enable potential partners to enter emerging markets worldwide. They provide franchise partners with all the necessary market research, risk management knowledge, scoring know-how, and detailed business plans to start their own profitable business.
AMM TOKEN USES.
- Encouragement and rewards – First, borrowers in MicroMoney are rewarded with an AMM bonus for paying back their loans in time while delays cause the AMM bonus to decrease depending on the overdue time. Second, if a borrower has others vouching for him or her and all the payments are made in time, the co-signers will receive AMM tokens as a reward as well.
- Every time MicroMoney receives a payment for personal details, credit history and Big Data, the customer will be rewarded with AMM tokens. This is part of the client’s digital reputation.
- As collateral – AMM can be used as collateral to secure a loan application allowing customers to achieve the lower rates and the other possible privileges and discounts.
- Franchise partnership – AMM ownership can allow token holders to become MicroMoney’s partner in a specific country/region on an exclusive basis.
- Access to the Decentralised A.I. Neural Network Scoring System – Banks, financial and insurance companies, e-commerce websites, retail outlets, telecommunication companies, and other corporates can access the Decentralised A.I. Neural Network Scoring system.
- Access to customers’ Big Data – Customers of the Big Data Bureau (banks, financial and insurance companies, e-commerce websites, retail outlets, telecommunication companies, and other corporates) can get access to customer data which can be mined.
- Access to customers’ Credit Histories Bureau – Banks, financial and insurance companies, e-commerce websites, retail outlets, telecommunication companies, and other corporates can get access to the Credit Histories Bureau.
HOW ADVANCED IS IT?
MicroMoney was established as a microfinance institution and has sharpened the business to become a decentralized Open Source Credit & Big Data Bureau on the Blockchain. Since 2015, they provide individuals and SMEs with short-term loans as the best solution for their financial needs.
In 2015, MicroMoney was successfully operating in Cambodia. In 2016, they started in Myanmar and have since decided to expand worldwide. In 2017, MicroMoney established a back office in Thailand for the purpose of reducing operational costs and making further expansion in region: Philippines, Indonesia, Malaysia, Sri Lanka, Singapore, Hong Kong, China.
They have more 95,000 registered users, of which 90 percent took out the first loan in their life. About 73% got back to MicroMoney for a second loan. Currently, their retention statistics show an average of 4.5 social/emergency loans per client.
Mr. Frans Purnama, a chairman of Indonesia Microfinance Association with 50,000,000 active borrowers, became their partner in Indonesia. Mr Madhawa Edussuriya, who is the owner of a large microfinance company Prosperous Capital & Credit Limited, became their partner in Sri Lanka. In October 2017, Micromoney would be signing a contract with Mr China Muoka, their new partner in Nigeria.
Hero’s mission is to revolutionize the banking industry to make credit more readily available and affordable for the unbanked or underbanked starting in Southeast Asia. Since 2015, they’ve helped thousands of Filipinos access short-term credit and that number is growing fast. As a pioneer in online lending in Southeast Asia, they have become one of the most distinguished Fintech startups to disrupt the highly entrenched, multi-billion dollar lending industry. Through their platform, they are already providing a revolutionary solution to a significant problem among the unbanked and underbanked across emerging markets.
Humaniq is a simple and secure mobile app, delivering financial inclusion solutions to the 2.5 billion unbanked / 1 billion underbanked globally. Humaniq brings isolated people into modern markets, creating a new source of growth for the world economy by impacting individual lives. Leveraging a widespread ambassador program, Humaniq reaches even the most isolated regions in emerging countries, helping reduce hunger and poverty, while giving people the opportunity to save, lend and raise money.
CoinLoan is a lending platform that lets you borrow money secured by crypto-assets. The CoinLoan ICO is underway throughout September, October, and November.
Overall, CoinLoan aims to solve crucial problems in the lending industry for both borrowers and lenders. It wants to give fiat currency holders a way to generate an ROI on their funds, while also giving crypto-asset holders a way to transform their digital assets into fiat currency without liquidating their digital assets.
HOW IS DIFFERENT FROM OTHER PROJECTS IN THE SPACE?
There are major differences, mainly in their approach to Big Data and establishing a new economy for the Asian region by getting businesses involved in the project and providing them with an entire database of customers, helping the region’s economy develop and grow.
They have been in business for 2 years and have already a massive following and customer base and are now already expanding to worldwide locations thanks to the franchise program. The company is going to work with local and national partners who will be using the MicroMoney platform to offer micro lending and any other MicroMoney services to their customers while making money for themselves.
[I like your project and the idea behind. Also, I like that you already have some reach into Asian countries. However, I have one question: You are speaking of unbanked people, but usually the same people doesn’t have access to modern technologies like mobile phones and internet. Do you have any solution of this? Because they will stays unbanked and off your project until they gain some access to technologies.]
[Interestingly , Anton Dzyatkovskii CEO and founder of MicroMoeny is also the lending director of Everest- https://www.everex.io/ – a blockchain company with similar goals- where he has already raised 25M USD. With more than 15 years experience in the fintech industry and an extended understanding of the Asian market – Anton worked in Singapore and Thailand -. He is fully aware of what could be improve in those countries and believes strongly in changing the micro-industry.]
[Role of “Anton Dzyatkovskii” have raised concerns about these ICOs (everex + MicroMoney). We already talk a bit about this situation in everex slack channel.
If you google it, you can find articles about a partnership agreement between them.
I think these two could empowers each other, one is more focused on potential customers, their data, reputation, cridits, and the other working on smart contracts, cryptocurrency, fiat gateways, wallets….]
[I was in everex’s chat room and some members were not happy with the partnership between the two companies, some members thought that both companies provide similar platform, both are raising funds publicly too then what benefits are left with the investors if the money is going to smae set of people in the background, can a team representative here clarify about this partnership please.]
[Yes, your concern here is welcomed. The MicroMoney Co-founder/CEO use to be the Lending Director at Everex and contributed immensely to the success of its ICO. MicroMoney and Everex are separate entities and each of them have a unique vision, mission, product, services and target markets. I don’t think the existence of both companies and the partnership between the two will have any negative impact on the market and investors return. The market is so huge that more companies with similar services are definitely needed to serve the needs of these 2 Billions + population. ]
[I will participate in this project and I think soft cap will be reached in very short period.]
[For the team, there should be more promotion about the MicroMoney platform, to attract more investors.]
[Hello. I have read the WP and some articles about your business. It looks interesting. But I can’t understand one thing. Why should your token’s price grow? What will move the price up?]
[Because the customers and revenue of the company will grow so will the value of each token grow, they are already in business and not just making promises.]
[Their value growth doesn’t mean that the token price will grow too. I didn’t find this link in the WP. Yes, they do the business and they want to collect money for development. But I don’t see how it will increase token price.]
[The financial market is huge, do you think they will start using MicroMoney anytime soon? (I mean part of people who do not use crypto currency today)]
[Can someone explain me how those people get their money in cryptoworld if they don’t have banks accounts? If you get your salary in cash, it’s quite hard exchange it crypto currency with out bank account or bitcoin machine. I bet they don’t have bitcoin machine in those countries.]
[Thats a good question, some places dont have electricity let alone a bank. You may place a bitcoin machine to a common area with solar power but even they require maintenance. I know from some projects in Africa they try to keep it as simple as possible.
Anyways, I can be helpful related to livestock-related matters. If you would like my help, go ahead and PM me and I will reply with my actual identification using email or something.]
[i think micropayment project visiting there each country and hire agent people and exchanger. that means micropayment will be each country locally available. micro money have quota for each destination if you want to see or read just read whitepaper.]
[while the people in southeast asian countries are fighting with hunger,
how do you intend to integrate the mobile banking system?
What if the loans are not repaid?]
[I like idea that loans from the ease of your Smartphone. It’s not a new idea, but it is a practical application.]
[How did I understand the platform is engaged in microcredit? Under what percentage of loans will be given?]
[in a telegram wrote that loans will be issued at 2% per day.]
[the financial sector related projects are too many,and there are already some big players in this field. the ANN arrangement looks decent though]
[Don’t waste your time, invest now join to ico this project is promising for success. ]
[I believe the current downtrend bear market is the reason for the slow rate of funding. Everyone is just focused on buying more BTC to up their BTG stake. Once the Bitcoin HF frenzy is done, We should see more funds come in. No one can deny the potential that MicroMoney has.]
[I’m wondering if the platform is called to issue micro loans, how will they fend off defaulters?]
[I think that this should not be a problem, because the loans issued are very small. A person does not make sense not to give it away, because he will not get a loan any more.]
[I think micromoney project will be huge, but current funding progress is too slow, you need to promote more for your project. Hope you can raise 30M usd.]
[As you know, Big Data methods work well in a stable market. Today’s markets are far from stable and the degree of uncertainty only increases. In this context, the obsolescence of the accumulated statistics for patterns of trustworthy borrowers will be catastrophically.
How do you plan to solve this problem, through a dramatic decrease of the average size of the loan?]
[I have a few questions.
1) White Paper says that potential customers are 2 billion. These are people who have never faced loans and do not even have a bank account. I downloaded the application and the data that needed this name and phone number. I’m interested in the dark side, that is, how your program is protected from scammers who register their data on the new phone. Symics can be bought, data can also be faked. You can also create activity on your phone.
2) If a person has not paid a loan, what will happen to him? The data that the program has collected is the geolocation data of the browser history and numbers in the phone? It is not clear what data it collects.
3) Will there be a Russian version on the ios system?]]
[It’s strange that bitcoigold has already been distributed, and the charges did not start to go faster. I thought that after the hard-fork people will start investing in various projects. Including this one.]
[Great news for the MicroMoney community!
MicroMoney expands token distribution campaign to China and the United States. Members of these two major markets can now support the project by joining the movement.]
[I think a very important point that the team is open, they shows their faces and is not afraid of anything, it’s better than escrow]
[In which country this will be working? This will be for limited countries?]
[I like your project and the idea behind. Also, I like that you already have some reach into Asian countries.
However, I have one question: You are speaking of unbanked people, but usually the same people doesn’t have access to modern technologies like mobile phones and internet. Do you have any solution of this? Because they will stays unbanked and off your project until they gain some access to technologies.]