Two Zimbabwean startups, Flexid and Uhuru Pockets, lately launched a platform that gives digital identification and remittance providers to migrants residing and dealing in South Africa. The 2 startups hailed what they’ve described because the “first cross-chain collaboration between the 2 corporations.”
Harnessing the Advantages of the Blockchain
The Zimbabwean blockchain startup Flex ID and the South Africa-based Whatsapp remittance platform, Uhuru Pockets, lately stated they’ve launched a platform that gives “mixed digital identification and remittance providers to thousands and thousands of Zimbabwean immigrants in South Africa.”
In an announcement shared with Bitcoin.com Information, the 2 startups hailed what they described because the “first cross-chain collaboration between the 2 corporations.” As revealed within the assertion, Flex ID, which was co-founded by Victor Mapunga, harnesses the Algorand blockchain, whereas the Uhuru Pockets is constructed on the Stellar blockchain.
Remarking on the 2 startups’ joint resolution, Belief Jakarasi, the CEO and founding father of Uhuru Pockets, stated:
We’re excited to companion with FlexID to supply our clients a extra streamlined and safe remittance expertise. By combining our strengths in digital identification and remittance providers, we are able to higher serve the wants of Zimbabwean immigrants in South Africa.
A number of the challenges which the 2 startups are hoping to beat by way of the brand new partnership embody “offering a seamless and safe remittance expertise” for Zimbabwean immigrants. Via this working association, the startups additionally hope to deal with or overcome the issue of excessive sending charges, restricted entry to formal monetary providers, in addition to identification verification points.
Restricted Entry to Monetary Providers
Mapunga, within the meantime, spoke of the virtues of blockchain in addition to the significance of deploying the expertise.
“By leveraging blockchain expertise, we are able to present a safe and environment friendly means for customers to confirm their identification and entry monetary providers, regardless of the place they’re,” the CEO of Flex ID insisted.
Though South Africa is ranked among the many largest senders of remittances in sub-Saharan Africa, it prices wherever between 5% and 20% to ship cash to Zimbabwe when utilizing registered cash switch businesses. This, in flip, forces many Zimbabwean migrants to make use of alternate options equivalent to couriers or unregistered remittance platforms.
The emergence of a blockchain-based resolution widens choices for Zimbabwe migrants and can possible assist drive down the common price of remitting funds.
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