Although at first it may seem like a chimera, the truth is that it is possible to invest in cryptocurrencies, successfully and ensure that this investment has a social impact. This dual objective is especially attractive to many investors. Because not everything in life is about making money, there are also other goals that are just as enriching or more enriching for a certain investor profile. EthicHub is the investment vehicle that makes this a reality.
The formula that this platform proposes is to build a bridge between crypto investors from anywhere in the world and numerous agricultural communities in countries such as Mexico or Colombia, which need access to other financing channels other than conventional channels to be able to develop their activities. And the key to achieving this is Blockchain technology.
What is EthicHub?
EthicHub is a platform collaborative financing ReFi type (regenerative finance) that bases its operation on Blockchain technology.
Its proposal is totally different from that offered by other similar platforms. The objective is not only to obtain interesting returns through the investments made, but also ensuring that these serve to improve other people's lives.
In many countries, even those that are in the category of “emerging economies,” something as simple as requesting a loan from a bank or financing entity is an almost impossible task. The expenses and interest applied make it unviable. Without financing, there is no possibility of economic development and, therefore, this also represents an obstacle to social development.
EthicHub presents a solution to this problem: the invested funds go to small businesses and agricultural cooperatives cHis activity revolves around the production and marketing of coffee. Thanks to these contributions, it is possible that these activities can be developed.
Blockchain technology, at the epicenter of everything
The system designed by EthicHub is based on Blockchain technology. Thanks to it, the free circulation of money between investors and recipients of investments is possible.
For applicants for these credits, lThe costs of these operations are located around the 1%, a much lower percentage than that applied in conventional financing channels. Thanks to this technology, the process is simplified (intermediaries are eliminated) and expenses are reduced to a minimum.
For their part, investors can obtain returns of up to 8%, with the added satisfaction that through their investments they are helping other people maintain their way of life and launch their projects. Something that, otherwise, could not be done.
Security for the investor
EthicHub has also devised a system to protect investments, a method that guarantees security and supports investor confidence: the compensation fund. Its function is to cover possible losses that could occur in the event that one of the investment projects were unsuccessful.
How It Works It's very simple: 4% of each new loan granted goes to this fund. This serves to reinforce the security of the platform and It ensures at all times the recovery of the money borrowed, if the project does not work.
The second “safety net” of investments through EthicHub is based on the Ethix token, which fulfills the function of liquid collateral. The compensation system also allows the liquidation of tokens in the crypto market.
For the peace of mind of the investor, it should be noted that in the last five years in which EthicHub has managed more than 3 million dollars and almost 600 projects, the default rate has been less than 1%. Thanks to its protection mechanisms, all investors have always been able to recover the capital invested.
How to invest in EthicHub
Now that we know the spirit of EthicHub and the particularities of its investment system, let's see how we can invest in this platform. We have two options:
- Investmentone is classic style. It is simply a matter of becoming familiar with the different projects that the platform supports and bet on one or more of them.
- Contributionone is of collateral through the Ethix token. Any investor can acquire Ethix tokens, automatically becoming a direct guarantor of small producers.
To materialize these investments so You only need to have a tablet or mobile phone with an Internet connection. EthicHub works in conjunction with Rate, the native crypto wallet of the CELO blockchain, especially recognized for the development of an innovative secure payment system through mobile. Although the platform also facilitates access to those investors less familiar with the world of wallets. via email with Magic.
We just have to download the Valora app from the App Store o Google Play (completely free) to install it on our devices. In this way we will be able to operate from any location quickly and simply.
EthicHub is a great example of how use technology responsibly and intelligently. In this specific case, developing an investment system with a double objective: obtaining an interesting return and, at the same time, promoting the economic and social development of other people.