Aeries Financial Technologies Pvt. Ltd., a fintech company promoted by serial entrepreneur and private equity investor V. Raman Kumar, today announced that it has built a Smart Contract-based Distributed Ledger Technology on its app based lending platform, CASHe.
The formal announcement of the revolutionary platform was made this morning at the Global Entrepreneurship Summit India 2017 being held in Hyderabad. The Distributed Ledger Technology allows the platform to record transactions in a secure and transparent manner by creating an immutable audit trail.
The platform has been designed to function as a shared infrastructure across customers, multiple external stakeholders, including regulators, credit bureaus and potentially other parties interested in participating in the distributed infrastructure.
Smart Contract based Distributed Ledger records all lending transactions in an open and transparent manner, thus allowing CASHe and the borrower to execute a trusted lending transaction that is transparent and tamper proof.
The key innovation also involves tokenising the loan amounts borrowed by the customers into Smart Contract Digital Tokens which are stored on the Ledger and accessible by the customer in the app. This means every rupee that is disbursed is automatically tokenized into a digital token. The user can now utilize the tokens in the following ways.
Monetize the digital tokens by transferring it to his bank account - This happens almost immediately:
Transfer the digital tokens to another CASHe customer or even a non CASHe customer who can, at their end, monetize the tokens with their respective banks
All transactions are securely and accurately stored on the distributed ledger using advanced cryptography and can be accessed only by password protected crypto keys.
"We have created a disruptive and transformative blockchain based technology which will revolutionise our digital lending business by providing a compelling value to our customers. CASHe is uniquely positioned to offer its customers the ability to borrow, transfer and repay money by using the Smart Contract Enabled Tokens in a completely secure, safe and auditable way," said Chairman of Aeries Financial Technology, V. Raman Kumar.
"This also makes CASHe India's first full service lending company that has successfully harnessed three big emerging technologies - Big Data, AI and Blockchain. We expect this technology to enable our lending application to grow virally in the coming months," added Kumar.
Disclaimer: No Business Standard Journalist was involved in creation of this content
