Now, small cocoa producers in Ecuador will enjoy cheap and accessible international financing through Ethichub's platform.
Great news ethichubbers! In our aim to be a global project and bring our solution to more small producers around the world, today we reach a new milestone. Hand in hand with NortFruit, we have managed to deploy our proposal in Ecuador and expand the EthicHub ecosystem with the incorporation of new farmers. With Ecuador, we have added one more name to a list that already includes Mexico, Honduras and Brazil. And we continue working to expand this list in the near future.
As they told us in their presentation at the Forum, NortFruit is very familiar with the cultivation, selection and commercialization of tropical and exotic fruits, developing its activities in the city of Esmeraldas, in the north of the Republic of Ecuador. NortFruit is composed of professionals and Associations of Producers and farmers who are already part of this ecosystem, you are very welcome!
Contribute collateral for NortFruit
From now on, all of you can become guarantors of these small producers by using your ethix as collateral for the loan requested. One of the implementations we are most proud of around here is to have designed this "crowdcollateral" or the possibility for any ethixholder to participate in this collective collateral for the benefit of the farmers. For investors' peace of mind, the loans agreed with NortFruit are 100% collateralized in our token. The originator node provides 10% of the collateral, the auditor node another 20% and the remaining 70% is contributed by all ethichubbers, who use our ethix so that this new addition can materialize. This is how we achieve that this profile of people, hard-working and very knowledgeable about field tasks, can participate in the platform and have access to better financing than they currently have, solving the problem of not having their own collateral. And this is how we think that collaborative ecosystems like ours are an example to show that there is another way of doing things and contribute to bring this technology and its possibilities to the people who need it most.
This link will take you to the community collateral presented by NortFruit. By connecting your wallets - and choosing the Ethereum blockchain - you can deposit your ethix in the collateral contract and become a supporter of the farmers. The goal is that, between all of us, we will manage to collect all the collateral required. So, if you are interested in participating, don't take too long, as the contract will close once 100% of the collateral has been raised.
We believe this is an extraordinary example of how we can use the tools provided by technology and the possibilities opened up by decentralization. Now we do not need a large guarantor to assume all the risk of this new incorporation. Now we can be hundreds of ethichubbers, all over the world, who manage to fulfill the collateral with a lot of small contributions. And receive an annual return for the risk we assume as community guarantors. Every day -and until the end of the loans-, we will distribute 60 ethix among all the members of the community who have contributed their ethix as collateral. In proportion to the participation in the same.
And little more for now. From here our recognition to all the team that has participated in this new incorporation and to the friends of NortFruit who have shown so much interest, effort and determination in the process of their incorporation to Ethichub.
EthicHub is a ReFi (Regenerative Finance) protocol that helps unbanked farmers access capital at low interest rates in a win/win model where all stakeholders benefit from the interaction. Its crowdlending platform was launched in June 2018, and to date (January 2023) it has brokered more than $3M in microcredits to more than 600 families in 5 countries.