Greetings,
I am presenting to you the Sentinel Chain and how it solving current financial inclusion services problems!
Facilitating Livestock Insurance
Problem: (1) Fraud is one of the biggest challenges to livestock insurance. A false insurance claim can be filed by swapping out the livestock tag from an insured livestock asset onto an uninsured livestock asset. (2) The second challenge is the lack of accurate livestock time-series data that can be used to determine the livestock insurance premium.
Solution: (1) A physically tamper-proof livestock identity tag when combined with the digitally-immutable property of blockchain as a storage provides the mechanism to prevent such fraud. (2) As the blockchain is inherently a timeseries transaction ledger, this creates a storage for analysis of accurate livestock data for insurance premium in future.
Function: SENC can be utilised by livestock insurance companies as a medium of exchange to purchase LCT, which LCT in turn can be used to pay for information storage and publication of a livestock insurance policy on the local CrossPay Blockchain so that such livestock insurance can be associated with the identity of the relevant livestock owner as tracked by the local Crosspay Blockchain and the identity of the relevant livestock tracked by a tamper-proof livestock identification tag.
Collateral by Third Party Local Financial Providers
Problem: Local financing companies need access to loans from larger or offshore financing companies. This can incur high interest rate to offset the high credit risks associated with unsecured loans.
Solution: Through the creation of livestock collateralised loans, local financing companies are in a better position to manage risks. In addition, local financing companies may use SENC as a collateral for additional leverage. This puts local financing companies in a better position to negotiate for more competitive interest rates and for offshore financing companies to gain access to new and emerging markets.
Function: SENC may be used as collateral by third party local financing companies (as borrowers) to secure against offshore lending from third party offshore financing companies (as lenders) in order to minimise counter-party risk exposure for such offshore financing companies providing such lending. SENC can be held in escrow guaranteed by a contract on the Ethereum blockchain. In the event that the third party local financing company defaults, such escrowed SENC can be released to the third party overseas financing company to be liquidated for funds.
More information on Sentinel Chain official website:
https://icodrops.com/sentinel-chain/
