Finding shown there are still many people in the world who do not possess bank account or credit record. Majority of these people are from the remote area or countryside, which are either lack of accessibility to banking facilities and networking infrastructures or facing restriction by national governance boundaries. Banks or financial institutions are also challenged to reach out to them. For instance, a farmer in a remote town in the Philippines is distanced from any loan application either domestic or foreign, for an intended substantial purchase.
ROSCA (Rotating Savings and Credit Association) has existed since centuries ago and it is still a widely known association in some countries. It’s called the ‘poor man’s bank in third world country which adopts the crowdfunding and community methodology to raise fund and helping each other within a community.
The core foundation of ROSCA is based upon the trust which is why most of the ROSCA group is held together by family and friends. The reason being if there’s a dishonest member from within the group who does not abide by the rules and policies set up for the lending cycle (i.e. sabotage of money from the group, dishonor instalment payback), the chain of funding and reserve will be broken, thus causes loss to the rest of members in the cycle.
In order to reduce these risks, the leader who forms the ROSCA group has to be the most trustable person as he will not only be responsible to take care of the funding cycle, he is also liable to hold and keep track of every transaction records. In other words, the leader of a ROSCA group is the caretaker of funds and records for his community members. However, a human is corruptible when it comes to money handling.
The leader might be the culprit that lead to falsified transaction records, missing fund records, money uncollectable and reserve amount that does not reconcile to bookkeeping. It is these inevitable scenarios that actually happened countless times over the years that government in countries like India and Singapore intervene to legalized ROSCA with governing rules and regulations to safeguard the wealth of the community members.
Blockchain is the fundamental technology for Bitcoin and it is the technological advancement that will change the world. Blockchain was created to solve the financial issue like decentralized the regulations and power which controlled by one party, public sharing of the distributed ledger which can be viewed by interested parties, transparent that’s why Blockchain technology fits well to the fundamentals of ROSCA.
Blockchain and ROSCA is the perfect match as it is able to solve the conventional ROSCA problems. The risk will be effectively mitigated with this new technology, thus the ROSCA methodology will be revived again to the benefits of many people across the world.
ROSCAcoin (RCA) is cryptocurrency which supported by a self-regulating, autonomous, decentralized, blockchain powered Rotating and Saving Credit Associations (ROSCA) ecosystem platform. With the blockchain technology which encompasses smart contract features, ROSCAcoin able to build a financial solution ecosystem which leverages social capital and trustees to collaborate with better financial options by eliminating the higher cost of borrowing, easier financing, better investment options and diversification of risk.
ROSCAcoin Ecosystem platform will offer multiple financial solutions to its user:
- ROSCA Lending Circle (RLC)
- ROSCA Credit Score (RCS)
- ROSCA Merchant Program (RMP)
- ROSCA P2P Platform (RPP)
- ROSCA Crowdfunding Platform (RCP)
- ROSCA Charity Platform (RYP)
- ROSCA Lucky Draw Platform (RLD)
The ROSCAcoin Ecosystem
Each platform will be developed progressively, and the whole ecosystem is projected to complete in the year 2022.
ROSCAcoin will also invest in some potential projects which able to boost its ROSCAcoin recognition. ROSCAcoin Ecosystem Platform is built on Ethereum platform which compatible with the ERC20 standard. It will accept Bitcoin and Ethereum Token in exchange for ROSCAcoin Token. This will stimulate the demand for the before mentioned cryptocurrencies and hence further improved their value to the cryptocommunity. ROSCAcoin Token (RCA) will be used in all ROSCAcoin Ecosystem platform as this will ease the process and encourage stateless business to which everyone across the world can intersect globally.
ROSCAcoin main sale goes live on April 1, 2018, don’t miss a chance to invest in the interesting project!