Blockbank — The Blockchain Revolution in Banking
Blockchain on the tip of everyone’s tongues, it’s no secret that there’s a tech revolution underway. But how does this all fit in with banking? Introducing Blockbank — pioneering the banking industry into a new future.
Who Are Blockbank?
Blockbank will be the first fully licensed bank on blockchain
With a team of financial experts their ranks, Blockbank combine next-gen banking and dynamic technology, providing bespoke commercial funding solutions to businesses, institutions, and governments.
The brainchild of co-founders Adam Cuffe and Yusuf Sozi, Blockbank leverages the security and transparency of blockchain technology to provide commercial loans worldwide.
Blockbank emerges at a time when the global funding gap is reaching a crisis point. The discrepancy in lending products worldwide is leaving small businesses and certain key industries without access to loans.
Mr Cuffe and Mr Sozi realized the potential of the automation, accuracy, and security of smart contracts as a solution to overcoming many of the shortfalls of the current international funding industry. By tapping into the benefits of the crypto space, Blockbank can offer its commercial lending products globally at competitive rates. This enables affordable entry to secure funding on a globally accessible platform.
Capitalizing on the flexibility of the technology, Blockbank are able to offer bespoke commercial financial services, supported by their experienced team of financial experts. In widening access to affordable commercial loans worldwide, Blockbank forge the way for neglected industries to thrive steering banking into a new technological generation.
What Does Blockbank Offer?
With incessant buzzwords humming around the tech space, it can be difficult to get to grips with why companies like Blockbank are steering us to a new generation, and why we should be on board.
Blockbank’s use of blockchain technology is a sophisticated and simplistic solution that embodies and drives the full “quiddity” of the banking revolution — in more ways than one.
Blockbank Offers Affordable Commercial Loans
Empowering people to find financial freedom is a difficult task. Enterprising spirits fall at the first hurdle, realizing the true costs of business loans.
In light of previous banking crises, commercial loans now have sky-high rates, making it extremely difficult to access the funding needed to get projects off the ground. This lack of funding often leads to a drought of services on the local level and a breakdown of social enterprises and services.
Blockbank wants to change this by offering commercial loans at affordable rates.
One of the many benefits of blockchain technology is lower-cost transactions. Equally, the automation of smart contracts enables the distribution of funding without a middleman. Furthermore, the creation of Blockbank’s BBRT utility token assuages costly currency exchange fees.
All these things combined enable Blockbank to offer their loans competitive to other banks, enabling access to funding to start or manage small-to-medium enterprises (SMEs), to sustain a governmental project, or to enhance an institutional process (etc).
In doing this, Blockbank help individual people pursuing their entrepreneurial dreams to gain financial independence. With an injection of capital behind them, business owners have the freedom to initiate new projects and more smoothly manage logistics of existing projects, while operating effectively.
By orchestrating the redistribution of commercial funding, Blockbank places itself in a great position to support the success of SMEs. In offering an affordable route to finance on a decentralized global network, Blockbank reaches out to help neglected industries get back on their feet. This helps to enhance and diversify access to goods and services, bolstering local economies all around the world.
Blockbank Has an Expert Financial Team
Blockbank not only offer financial products, but also the advice to accompany this. Priding themselves on their tailor-made solutions, Blockbank offers bespoke commercial loans, designed specifically for each client.
In doing this, Blockbank’s team are able to assist businesses in their endeavours, while helping them to make the most of their funding. Blockbank’s highly-qualified financial experts are on hand to craft each deal, sealed into smart contracts for security and immutability — highlighting the transparency of Blockbank’s operations and ensuring each party is satisfied.
Blockbank Invites You to Join Their Token Economy
Blockbank token economy is the backbone of their dynamic banking system, enabling global access and affordability.
Introducing the BBRT utility token, Blockbank’s fees are paid using their own token. Due to the limited supply of their ERC20 token, the value increases with each successfully secured Blockbank loan.
On a wider scale, Blockbank are extending the token economy across a wider network, enabling BBRT to be used as global payment method. By accepting BBRT as a payment method, businesses can benefit by opening new sales channels, while providing discounts for BBRT users as an incentive.
By being paid in BBRT, business owners now give themselves a steady supply of BBRT to reapply for further funding from Blockbank for improving and smoothing operational logistics. Alternatively, business owners can use BBRT to reach out the suppliers who also accept the token.
As BBRT doesn’t need a third-party service like Paypal or Stripe, transaction fees are far lower, making global payment easier and cheaper. This gives all token holders a new avenue of access to goods and services, without costly currency exchange or transaction fees.
But, Why is Blockbank Offering This Service?
In today’s day and age, interest rates for commercial lending products are so high that many independent business owners simply cannot access these financial products. With more than 50% of the world’s population unbanked, expensive middlemen jumping into every transaction, and exorbitant interest rates, loan accessibility is harder than ever for certain commercial sectors.
Moreover, we are seeing issues with redirection of commercial funding, leading to a shortage of commercial lending products for SMEs, rocking the stability of local economies.
Combined with security breaches in banking technology, and hacks to these central authorities, accessing commercial funding has become extremely difficult across the world. Blockbank aims to tackle these issues by providing affordable commercial financial products on a worldwide decentralized platform, supporting SMEs and governments and reinforcing local economies.
Commercial Lending is Inaccessible
There are several reasons why commercial lending is inaccessible to those who need it. Firstly, the excessively pricey interest rates mean that many commercial loans are simply unaffordable. If applicants could cough up the assets to back them, interest rates for commercial loans can stand in excess of 20% in developing countries.
While successful applicants may benefit from the injection of cash, they often fall short of repayments, leading to a spiral of debt. Many people end up paying back the entirety of their loan in interest fees within the first few years. This is simply not viable for most business owners, who don’t even bother applying.
Moreover, recent statistics have shown that over half the world’s population is unbanked. Without access to banking services, the concept of commercial funding is impossible. With no place to send or manage the funds, independent businesses cannot apply for loans from any financial institutions. This is particularly apparent in developing countries.
The Global Funding Gap
Mr Cuffe and Mr Sozi recognized the need to make a move on the global lending gap. Right now, funding is focused on the financial and technology sectors. While this is helping these areas to advance, bringing wonderful new inventions to our lives, it means that funds are increasingly being redirected from key industries, such as healthcare, education, infrastructure, and social services.
On a local level, this is reflected by the suffering of SMEs. High streets and shopping complexes worldwide are dominated by huge corporations, pushing out SMEs and local enterprises. While these organizations have the capacity to offer cheaper products and appear to create jobs, they push out local industry. Where thriving independent businesses lead to financially secure individuals and resilient, diverse local economies — corporate dominance leads to low-paid workers, a lack of community-supported infrastructure and social services, and local money leaving the community as it’s pumped back into the globalized corporate machine.
With commercial funding being focused toward tech and finance institutions, it has become increasingly difficult for independent businesses to get a foothold in their local economies. Without access to realistically affordable funding, now directed elsewhere, SMEs collapse and independent business owners can no longer afford to compete. As globalized entities take control, local economies tend to become a little shaky.
Security has become a top priority for most people when considering banking. With identity theft becoming so prevalent and issues with privacy dominating the public sphere, it is astounding to continuously see further stories of banking security breaches appearing in the media. From Canada to Italy, hackers threaten the stability of traditional financial institutions, in turn compromising innocent customers.
As traditional banking entities serve as a central authority to your money and personal details, they position themselves as a target to become a central point of failure. For hackers looking to maliciously attack banking systems, they only need to target one technical architectural point to weaken the whole system and breach its foundations.
If not hackers, corruption within banking globally also causes a certain level of scepticism for bank customers. With a consistent recent history of bank bail outs and speculation, the general public are correct in their hesitation to trust these institutions. With opaque business practices and underhand institutional processes underlying the industry, the call for transparency is becoming increasingly louder.
So, How Does Blockbank Solve These Problems?
Blockbank is stepping up to deal with these issues. Blockbank utilizes cutting edge technology to tackle these problems head on, while reopening the doors to accessible commercial funding.
Blockbank’s Loans are Competitive
The most striking and addressable issue with commercial funding is the high interest rates, blocking access for the average person.
Blockbank’s technological architecture enables Blockbank to offer commercial products at favourable interest rates.
Through automated services and an immutable ledger, Blockbank are able to cut out middlemen and decrease transaction costs, directly relaying those cost savings to loan applicants.
Blockchain Increases Security and Transparency
While we vie for tighter security, crystal-clear transparency, and unshakeable privacy in banking, we find hacks and malicious attacks peppering the technological banking solutions present in today’s world. From online banking downtime to scammers and hackers, the leap into secure banking is needed now more than ever.
At its most basic, blockchain is an immutable ledger of transactions. For banking, leveraging this technology leaves an incontrovertible audit trail that cannot be tampered with. In the process of commercial lending, this ensures that all transactions are transparent for both parties and are immune to malicious attacks.
The decentralized nature of Blockbank’s application of blockchain further enhances security as there is no longer one central point of failure. It becomes nigh-on impossible for a hacker to breach the system unnoticed.
In other words, blockchain provides evidence of all operations conducted with Blockbank. This prevents either party from corrupt or ill-intentioned behaviour, while ensuring a perfect record is kept. Breaking the banking industry mould, Blockbank are using blockchain to improve security and transparency for all those utilizing their global decentralized economy.
Smart Contracts Increase Speed
and Accuracy While
Blockbank employs smart contracts to execute all order within the system. Say, you are applying for an asset-backed affordable commercial loan, all assets are tied into smart contracts to protect applicants. Smart contracts will execute automatically once the criteria of the contract have been fulfilled.
Smart contracts speed up the funding process as they execute automatically. Moreover, they increase accuracy and speed by diminishing human error — another costly banking downfall.
The operation of smart contracts underpinning Blockbank’s services mitigates the need for middlemen. This cuts back costs ranging from currency exchange fees to third-party fees. This simultaneously lowers costs and speeds up the process of commercial funding.
The BBRT Token Economy Allows Global Access
The BBRT token is a global payment mechanism which allows users to access Blockbank’s loans. As all fees are paid in BBRT, the demand increases on account of its limited supply.
Global access to loan products is often cut off due to very expensive currency exchange rates or a lack of third party services connecting users. The decentralized nature of the BBRT token economy means that users can pay loan deposits easily and cheaply using the token. With no need for exchange costs, BBRT enables users to access loans without further expenses.
Moreover, the token can be used as a payment mechanism between participating businesses, easing operational logistics of the supply chain, while also providing an accessible route to funding for all businesses.
Blockbank’s Solutions are Made to Fit
Considering the access issue of the unbanked, Blockbank offer solutions to help those without access to banking facilities. Through The Blockbank Exchange and Block bank lending platform bbcl.io (enabling exchange to crypto currencies and FIAT) and their direct-to-merchant transfer services, Blockbank provide bespoke solutions to assist unbanked businesses.
When Will Blockbank Launch?
BBRT will be available at The Blockbank Exchange. For loan applicants, fees will automatically be exchanged to BBRT via The Blockbank Exchange, when fees are paid in BTC, ETH or FIAT.
Blockbank BBRT tokens will be available from LA TokensExchange.