In this article I would like to discuss a new ICO called Everex and their major partner a firm called MicroMoney.
Microcredit is the combined use of preditory lending practices applied to a vulnerable population living in third world nations. I had the opportunity to meet with an executive of Micromoney and hear first hand how their system has been designed to provide people who have no business receiving credit with the opportunity to pay 1000s of percentage points annually for microloans in the first place.
It all starts with the company's website https://www.micromoney.io/ where users are encouraged to download their APP (most of the company's users are poor nationals from Myanmar). Users are encouraged to start with a small loan and provide important personal information including contact information for friends and family. The user then takes out a small loan. Each time the loan is paid back the user is allowed to borrow an increased amount of money but here is the catch. Interest is upwards of 1 percent per day and assuming the user doesnt have money to pay the company then sends letters and makes calls to friends and family letting all of the contacts know that the customer is late on payments and cannot be trusted.
According to World Bank, 2 billion people around the world are still unbanked and unserved. Unable to build credit, they lack access to basic financial services like personal loans and SME loans. This is a critical problem affecting local economies, especially in emerging countries like the Philippines, Thailand or Myanmar.
This is a that problem provides Micromoney.io with the ability to provide incredibly high interest rates to their customers and intimidate them into paying with threats and bullying.
MicroMoney offers a solution: it helps people to build their first credit history on the blockchain. It uses new technologies and Big Data to determine a person's creditworthiness via an innovative scoring system based on neural networks and A.I. algorithms.
Asian culture operates on reputation and users must guard it with their lives. Furthermore credit is addictive, once someone gets a taste for it they quickly develop a lifestyle beyond their means and may resort to crime if necessary to maintain their lifestyle.
I know for a fact that this type of predatory lending has no place in the world and the company disgusts me completely.
Anton Dzyatkovsky, co-founder of MicroMoney, is also the lending director of Everex - a blockchain company with similar goals. Everex has already raised 25M USD. With more than 15 years experience in the fintech industry and an extended understanding of the Asian market, Anton worked in Singapore and Thailand. He is fully aware of what could be improved in those countries and believes strongly in changing the lending industry.
This statement connects the new ICO Everex directly with Micromoney. Furthermore I'll be staying away from both of these ICO 'opportunities' because I refuse to be a part of the exploitation of poor SE asian citizens.
The following article is written in an attempt to shed light on this company and encourage others to do investigative research confirming my statements. Please let potential investors know exactly what types of behavior they are encouraging by investing in the company's upcoming ICO and the Everex ICO which is directly associated with them.
Thanks for reading!
Source:
Lending Services Provider MicroMoney to raise $30Mln through a Token Distribution Campaign in October - Coin Idol