GoldFinch, a decentralized credit protocol for crypto loans to real businesses in emerging markets of Africa, has announced it has joined the Celo Alliance for Propserity. The alliance is a network of Celo mission-aligned organizations committed to growing global and local ecosystems in service of creating the conditions of prosperity for all.
Through the alliance, members leverage the network to make it so that digital assets can be shared in ‘faster, less expensive and transparent ways while also working together to increase financial inclusion for those who do not have bank accounts, or have limited financial services.
Celo is one of the blockchains focussed on enabling financial inclusion among the financially excluded populations of Africa.
GoldFinch will be joining some key alliance members among whom are:
In support of the move, GoldFinch Co-Founder, Blake West, said:
“The Goldfinch whitepaper was created with the vision of creating a more fair, transparent, accessible financial system, owned by those who participate.
“I’m glad that the community will be working alongside other Alliance members to create real impact and opportunity, using DeFi to break down the barriers to financial access faced in most of the world.”
– Co-Founder, GoldFinch Finance
Celo Foundation’s Head of Strategy & Innovation, Nikhil Raghuveer, pointed out that GoldFinch’s goals made sense for it to be part of the Alliance for Prosperity saying:
“With an eye towards people’s needs and real-world use cases, the Celo Alliance for Prosperity and its partners can support financial empowerment, together with the help of Goldfinch’s vision to bring crypto-powered lending to people and businesses around the world.”
– Head of Strategy & Innovation, Celo Foundation
GoldFinch itself does not lend directly. Instead, the protocol works by extending credit lines to lending businesses.
These businesses use their credit lines to draw down stablecoins from the pool and then exchange it for fiat and deploy it on the ground in their local markets. The protocol offers crypto loans without requiring crypto collateral.
GoldFinch is currently offering uncollaterized loans in the following African countries:
- Kenya
- Uganda (in partnership with Tugende)
- Tanzania
- Egypt
- Liberia
- Nigeria
- Ghana
- Sierra Leon
In July 2022, GoldFinch DeFi loans had reached over 1 million people globally, including supporting several SMEs and individuals across Africa.
