Kora Network: The Infrastructure for Inclusive Financial Systems
This is the project built on four layers of infrastructure to provide low-cost universal access financial services platform. One can access through SMS/USSD or via a mobile application enabled by blockchain technology. There are a lot of barriers other blockchain project and they are theoretical. But in KORA NETWORK you will never face those issues because kora aims to address these barriers.
This project is trying to empower instead of displacing existing communities by introducing new equipments and tools to help build a self-sustaining financial ecosystem.
Financial freedom can be seen in kora, and also, empowerment and wealth creation to a lot of regions of the world previously considered unprofitable can also be seen in this project.
Join with KORA NETWORK is the best opportunity for everyone who interested in this project.
Four fundamental functions are built into the Kora Network
Users can prove their true identity and the validity of their activity.
Users are more secure with this. they are protected from stealing their funds. no one can steal or devalued their funds.
users who using this can easily transfer money to each other with securely.
Users who use this can exchange money for services, good and capital by easily access venues.
Planning and Vision
A team of Kora has the vision to use the latest technology to empower the people to build a strong ecosystem in the region. It will educate the people for adaptation of the new technology and grow faster in the world. The Kora Network has the vision to build the four layers of infrastructure to provide an economical solution in the region. It will provide the universal access to financial services through the platform accessible via SMS/USSD on a Smartphone, internet by using the specially developed Mobile app. The mobile app will be enabled by using blockchain technology. The blockchain based financial services will build the self-sustaining community based financial services. It will immediately reduce the cost of the financial services that require for the management and development. The centralized blockchain based financial services will open the new frontier in the global economy and allow the people to gain more profit through the capital management, intellect, and creativity of the undeserved.
- There is little opportunity for existing financial institutions
For banks, the operational cost of opening up branches in poor or low economic areas outweighs the benefits and profit they would make in return for providing these services. Bank also find this market unattractive as the underserved would transact in what would traditionally be considered “small” amounts. However, PWC estimates that the un(der)banked population hold at least $360 billion in unmet deposits in 2016 alone.
- The economics of traditional banking result in prohibitive prices
Costs for a bank to provide it’s services physically are very high. The overhead required to open and operate a branch includes property fees, staff headcount, and IT infrastructure. Banks reclaim cost by charging high fees for loans, account maintenance, ATM withdrawals and money transfers. As a result, many areas are left out of their target market. This leaves people who live in these areas with limited and expensive options when it comes to managing their money.
The travel time to bank branches or ATMs can be more than a day’s travel, becoming a costly, time-consuming, and demotivating activity. This is a leading barrier for 20% of the global unbanked, who cited banks being too far away as a reason for not having an account. Even for those where distance is not an issue, the cost to transact is too high, making basic services inaccessible for most.
- Lack of identification documents
A staggering 1.5 billion people worldwide lack any form of valid identification. Having official and valid ID is essential for opening accounts and accessing financial services anywhere, but is not something readily accessible or easily obtainable to those in developing countries. To make access even more difficult, the requirements for opening an account can be particularly burdensome for low income populations, requiring complicated paperwork and multiple forms of ID.
This problem begins at birth, as many children do not have a birth certificate, making it difficult for them to get registered later on. Beyond birth registration, the ability to obtain national ID is restricted by the lack of administrative offices where registrations can be made. It is also costly to register and receive ID, whether directly through the registration fee, or indirectly through transportation, missed work, and bribery or corruption.
- Lack of trust and technological understanding
Trust is essential in how we choose the method of storing and transacting with their personal finances. For many of the underserved, there is a lack of trust in both traditional banking systems and modern financial technology. Many people have chosen not to use banks to conduct their financial needs because they are often seen as dishonest and to be “exploitative” of those most in need. Banking scandals, such as embezzlement, fraud, corruption, and bank insolvency, are extremely common. One such example is the “Goldenberg” scandal in Kenya, and the case of 4 Ugandan banks disbanding within 13 months.
- Lack of financial literacy
Financial illiteracy is a major issue affecting developing countries. can be attributed back to a lack of available options as well as limited knowledge of how to make positive financial choices. This ranges from knowing how to effectively manage their own finances to knowing how to use ATM’s and mobile payments.
Banks have historically provided financial services and continue to account for roughly 65% of financial services worldwide. However, the high cost to serve, low profitability and lack of identity of the unbanked makes them an unattractive market segment for traditional banks. As a result, many banks choose to focus on market segments that already have some degree of wealth.
In recent decades, however, several governments in developed and developing countries have mandated banks to include the unbanked in their customer adoption exercises. Countries such as Brazil, Malaysia and India have made access to financial services a fundamental human right.
Local Ad Hoc Networks
Local ad hoc networks have existed for centuries and are generally trusted solutions for providing financial services within the community. Services through these informal, yet sophisticated models, such as credit associations, rotating savings clubs (ROSCAS), self-help groups (SHG’s) or community based financial organizations (CBFO’s), are often the preferred alternative to traditional formal institutions, with 48% of adults in sub-Saharan Africa using these networks as their primary means to save.
These services open up opportunities that banks cannot provide. With these systems, the community pools together capital that is later distributed back among members, or can be used for lending and borrowing. Stringent requirements such as ID and high transaction costs are not required.
Traditional Rotating Savings and Credit Associations (ROSCAs) have existed in many parts of Africa for a long time. The composition and size of ROSCAs were the most important factors in determining success or failure. Homogeneity in terms of income level and gender, low membership (6 to 10 being ideal), were key, as members could be trusted. Larger ROSCAs were considered by members to be prone to management problems and breakup.
In Nigeria alone, 69% of adults who save do so using these clubs, also known as Esusu, Ajo, Cha or Adashi. These platforms do provide some form of financial services, but they still cannot attain full financial inclusion as they charge high interest rates, don’t save transaction history, and are unregulated.
Mobile Money Operators (MMOs)
Mobile money businesses have helped drive a significant improvement in achieving financial access for those who were excluded from traditional institutions, and bridging the gap between the banked and unbanked. They have been credited with helping to reduce the unbanked population from 2.5 billion to 2 billion in the last decade, with 100 million new users reportedly registered in 2015 alone.
Mobile money generally refers to payment services operated under some form of regulation, via a smartphone or mobile phone. M-PESA (M for “mobile” and PESA, Swahili word for “cash money”) otherwise “mobile cash money” in Kenya stands out as a model of how consumer access to financial services can be revolutionized through technology. The service provides the opportunity to transfer cash; purchase airtime credit; pay bills; and purchase goods and services without the use of cash by simply transferring value from one individual to another through SMS/USSD.
However, there are still a number of limitations MMOs face. The transaction services they provide are often not interoperable with other MMOs or banks, meaning transactions are only useful within their closed ecosystem. Many MMOs have struggled to get penetration in more than a single region due to reliance on a single national currency. Individuals have stated a distinct lack of trust prevents them from engaging these services, as MMOs hoard data as proprietary advantage instead of giving ownership back to the customer.
A number of blockchain projects have proven their ability to store and transmit value across national borders at enormous scale and low cost, but many require a sophisticated understanding of the technology, access to smartphones and internet access. For an average unbanked person living on less than $2 a day, the requirement for a $50 smart phone, internet data at $10 per month and electric bills to keep the phone charged regularly are out of their scope.
Additionally, projects that introduce access to financial services through entirely new digital currencies are likely to face hesitation and skepticism from users with little to no trust in new and unfamiliar technology. The same challenges apply to those resistant or uncomfortable using any kind of technology with no knowledge of how to use these services, and if projects don’t address these issues, they will struggle to create wide scale adoption.
Kora Network Token
Take a part in ‘kora network” by holding KNT tokens. kora token sale goal is, decentralize ownership with people who contribute to the token sale on kora to ensure the crypto economic stability of this network.
KORA presale is in February and public sale is starting in March 2018.
45% of total supply reserved for the token sale fund raise.
Joining Token Sale
first of all, you have to visit the website and read whitepaper for getting an idea about this amazing project, then if you interested in this project you can join token sale on KORA.
visit website on here. then click whitelist button for ready for the token sale and fill the form with your details.
let’s see what is kora going to do with funded funds. look below chart.
50% of total allocated to the Research, development, and maintenance of the Kora Network and any software deployed in the Network. likewise, rest funds distribute among other divisions. the use of funds will be monitored by the advisory board.
Team and Advisory board
Any project cant success without good team members and advisory board .there can see many efficient team member in every successful project. same in “kora network”. meet the great team and advisory board on “kora”
Be a part of this incredible project. Download the Whitepaper for the full scoop.
Till next time...
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