Debitum Network is trying to solve one problem that all business face, especially small and medium sized enterprises. World bank has estimated that around 70% of small and medium sized enterprises lack access to credit
Debitum Network aims to solve this problem taking out the centralized middleman, which are the banks. Debitum seeks to bring together various stakeholders such as risk assessors, insurers, investors and people who validate documents. Now people will have the ability to participate in a cross boarder network and get financing in much easier way.
Debitum Network uses Ethereum blockchain and smart contracts. This means that the transactions have low fees for cross boarder fees and have very high security.
An example how this could work:
Frank has a tea production farm in China and seeks to fulfill a large order from the US. Unfortunately, he does not have funds to fulfill this order and seeks funding.
Frank finds Debitum Network and applies for a loan, 50.000USD with a yearly interest of 12%. Investors across the globe put each small amount towards the 50.000 USD, each owning a share of the loan according to the amount lent.
Once the order is fulfilled, Frank receives funds and he pays back the loan. In this example Frank got to expand his operations to international boarders and investors received interest for their invested amount.
You can find out more about the project below:
Website: https://debitum.network/
Whitepaper: https://debitum.network/whitepaper