Two Zimbabwean startups, Flexid and Uhuru Pockets, not too long ago launched a platform that gives digital id and remittance companies to migrants dwelling 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, not too long ago mentioned they’ve launched a platform that gives “mixed digital id and remittance companies to thousands and thousands of Zimbabwean immigrants in South Africa.”
In a press release 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, mentioned:
We’re excited to accomplice with FlexID to supply our prospects a extra streamlined and safe remittance expertise. By combining our strengths in digital id and remittance companies, we are able to higher serve the wants of Zimbabwean immigrants in South Africa.
A few of the challenges which the 2 startups are hoping to beat by way of the brand new partnership embrace “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 companies, in addition to id verification points.
Restricted Entry to Monetary Companies
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 approach for customers to confirm their id and entry monetary companies, irrespective 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 costs anywhere 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 reminiscent of couriers or unregistered remittance platforms.
The emergence of a blockchain-based resolution widens choices for Zimbabwe migrants and can seemingly assist drive down the typical value of remitting funds.
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