DECENTRALISING THE CONVENTIONAL CREDIT BUSINESS THROUGH DISTRIBUTED...

It is virtually impossible to talk about societal and industrial development without making mention of means by which they were achieved. Individuals, Industries, and governments had at one time or the other fall back on credit facilities to achieve their targets. Individuals use credits to improve the standard of living by acquiring assets such as cars, houses and the likes. Also, credits obtained by the government, most especially leaders of the third world countries have immensely been used to facilitate national growth and development
Sadly, traditional credit agencies are taking advantage of information asymmetry and the traditional monopolistic credit model to become a centralized profiteering industry. Results of researches conducted in developing countries have shown that interests spread from these loans provide 80% of their revenue.

DISTRIBUTED BANKING
Distributed banking is a form of virtual agency based on decentralized block-chain technology. Unlike the traditional bank, it is an integrated ecosystem of distributed financial services that offer fair financial service to all its users. It adopts peer-to-peer and all-communications cooperation to address the loopholes of centralized credit model. Benefits of a decentralized blockchain technology to the credit agencies, lenders and borrowers are;

It prevents monopoly:
Unlike the centralized credit business where the intermediaries determine the interest on loans, the value of interest on loans in a decentralized blockchain technology is decided by the market itself.

Protects user privacy:
Users personal information are encrypted and stored in the cloud, retrieval can only be done through local addressing. Users personal data will be transmitted to them in an encoded point-to-point or zero-knowledge proof form.

Eliminates third party information monopoly:
In contrast to the traditional way, where a third party keeps a record of individual’s credit history block-chain technology allows individuals to own and use their data. This eliminates the menace of leakage and unauthorized use of user’s information.

DISTRIBUTED CREDIT CHAIN
DCC is a foundation that plans to conduct credit business, implement liquidation and settlement services on its platform through decentralized blockchain technology.
Through decentralized blockchain technology, the distributed Credit Chain developed an innovative super credit ecosystem that will benefit the world. Features inherent in the Distributed credit chain are;

User Account Identification System:
Distributed Credit Chain applies digital signature technology at every step of data exchange in order to fully guarantee the non-repudiation of the individual and institutional interaction of data.

Distributed Credit Maintenance System:
Through Distributed Identity Verification (DIV), distributed credit chain offers users an opportunity to have absolute control over their data. They can determine its storage and use. Moreover, through the data digest in its circulation process, the distributed identity verification system prevents the menace of data falsification and deception.

Cross-border Credit Credentials:
The DCC is designed to become the main currency of the multi-national lending service on the distributed credit chain ecosystem. The DCC system will provide a cross-border and cross-currency credit service of digital assets to all users. Also, it is capable of corresponding to values of diverse legal tender of loans in different countries.

Account System:
In DCC, users DCCID- a decentralized control account system are usually generated through a private-public key pair. The account basically consists of an address and a private key and public key. This address serves as member’s ID and also links all user’s information on the credit chain.

DECENTRALISED APPLICATIONS (DAPP)
Being a decentralized open platform, the DCC offers reputable lending institution an opportunity to submit their decentralized application(DAPP) for integration into the DCC ecosystem.
Some of the advantages of the DCC ecosystem are:
• It offers users a low cost and Efficient credit business system.
• It adopts a tamper-proof identity system.
• It offers an excellent asset liquidity.

Moreover, it is an impediment to note that there is certain risk associated with participating in Distributed Credit Chain. They are;

Security weaknesses:
Hackers may strike the Distributed Credit Chain with malware, consensus-based attacks or perhaps Sybil attacks.

The decline in the value of digital asset:
There are chances that the Distributed Credit Chain will not develop as planned. This may be as a result of sudden fall in the value of any digital asset and the DCC. More so, unforeseen technical difficulties and a shortage of developmental funds for activities will affect the development of the distributed credit chain.

Ambiguous Regulations and Enforcement Actions:
At present, the regulatory status of distributed ledger technology is still unclear in many countries. It is quite impossible to foretell whether regulatory agencies will adopt existing regulations or perhaps create new regulations for distributed ledger technology.

DCC TOKEN DISTRIBUTION PLAN
10 billion tokens of the digital currency (DCC) will be issued. Below is a table that shows how the DCCs will be allocated:

ALLOCATION - DCC VALUE

Private round - 1,800,000,000

Initial coin offering (ICO) - 200,000,000

Foundation - 2,800,000,000

Markets and Agent consultant - 1,500,000,000

Reward - 1,700,000,000

Management Team - 2,000,000,000