Connect with us

E-Financial

How Digital Fiat Currency Will Drive Financial Inclusion- eCurrency

Published

on

Kindly share this post

Currency as a store of value, unit of account, and medium of exchange has accompanied society since the dawn of civilization and commerce.

Fiat currency issued by the central bank under the law and constitution of each country added trust and governance as well as security to this simple yet powerful instrument.

Fiat currency has also played an important role in financial inclusion by providing equal access to this infrastructure for people of all walks of life and socio-economic backgrounds. As society has evolved, the form of currency has changed from shells and precious metals to minted coins and paper currency.

The societal changes introduced by the rise of the Internet and mobile technology have led to fundamental changes in the way we lead our daily lives, however, the account-based electronic and mobile payment systems used today are yet to realize the full potential of a truly digital version of fiat currency.

Mobile money from different vendors is not interoperable to the extent that cash is. It presents challenges to effective regulation and consumer protection as the main businesses of these private mobile-money providers are not secured against insolvency of funds deposited in these systems as a true store of value. Private crypto and virtual currencies have an exchange rate with fiat currency, and as such it fails as a unit of account.

The Route To Internationally Accepted Digital Fiat Currency

Challenges to interoperability, trust and regulation are even more acute in the developing countries where as much as 80% of the population do not benefit from the financial infrastructure provided by traditional banking systems.

The ITU-T Focus Group on Digital Financial Services has been the most recent effort to tackle challenges to broader financial inclusion, looking in particular at how digital tools could bring basic financial services to the estimated 2 billion people still without access to a bank account.

This group delivered a set of policy recommendations with potential to boost growth and innovation in the Digital Financial Service ecosystem, the interoperability of payment systems, and consumer protection and security.

A recent comprehensive report produced by the India Ministry of Finance in December 2016, the Watal report, highlights three principles as being essential to an effective digital fiat currency (DFC) solution: (1) Ownership neutrality, (2) Technology neutrality, and (3) Infrastructure neutrality. These are very important problems and constraints that a true DFC solution must solve and meet.

ITU will play a critical role in driving the international standardization of the technical frameworks necessary to a true DFC.

eCurrency has been an active participant in the ITU-T FG-DFS in addition to providing inputs for the Watal report. Our DFC solution is a product built on the three key principles identified by the Watal report and is intended to address the main challenges faced by today’s Digital Financial Services.

eCurrency: Demonstrating the three key principles of true DFC solution

eCurrency was established over five years ago with the goal of providing a solution for a Central Bank-issued DFC that can be distributed by all financial institutions, proving accessible to all consumers and merchants as a secure and interoperable payment instrument.

We have worked with over 32 central banks around the world, run pilots with large mobile-wallet providers, and developed the necessary infrastructure service to enable seamless interoperability among completely different types of payment systems – including debit card, mobile, payment network, and banking systems – through a set of eCurrency API and services.

Most recently, the first commercial deployment of DFC that involves the banking system as the issuer and mobile-wallet provider as the distributor has been successfully deployed in Senegal.

The distinguishing feature of the eCurrency solution is that it can be considered a regulatory technology for the payment ecosystem that allows the Central Bank to issue secure hardware-protected cryptographic objects (DFC Instrument) independent of payment or ledger systems.

Each payment or ledger system becomes part of the DFC ecosystem via integration through the eCurrency Open API and a one-time initialization process. Once enabled, all customers and merchants served by the underlying payment or ledger system can reach any customer and merchant in this ecosystem.

The properties of fiat currency ensure instantaneous settlement between any two parties, regardless of which payment system or ledger system they deal with. The laws governing fiat currency protect consumers and merchants using DFC, with Central Banks empowered to operate DFC within existing legal and regulatory frameworks.

eCurrency is ownership neutral as it allows any financial institutions to compete in the distribution of DFC just like they do today with paper currency. It is also technology and infrastructure neutral by allowing all existing financial institutions and mobile-money providers to join the Digital Financial Service ecosystem on a level playing field.

For more information on the work of eCurrency, visit the web site; look at eCurrency CEO Jonathan Dharmapalan’s AFI presentation (video) and a technical presentation given to ANSI X.9 (US Core Banking standard body); and follow our news at eCurrency news.

David Wen, co-founder and chief scientist of eCurrency
 


Kindly share this post

Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

Continue Reading
Advertisement
Comments

E-Financial

Access Bank Unveils DiamondXtra Season 16, Dangles N200m, 3 SUVs

Published

on

Kindly share this post

The sixteenth season of DiamondXtra, a savings and reward account where customers of Access Bank are rewarded with several prizes, have been unveiled in Lagos.

Access Bank Unveils DiamondXtra Season 16, Dangles N200m, 3 SUVs

 L – R : Doris Okpara, Product Manager, DiamondXtra; Ngozi Igboanugo, Regional sales Manager Festac 1&2 & mainland Access Bank; Bolarinwa Animashaun, Regional Sales Director Lagos 2 Access Bank ; Emeka Ezikeugo, Diamondxtra N200,000 Onsite winner; and Adaeze Ume, Head Consumer liabilities, Access Bank during the launch of Diamondxtra Season 16 held at Alaba International Market Lagos yesterday.

The Season 16th of the special interest yielding hybrid account which allows deposit of both cash and third-party cheques has been upgraded as customers will win prizes to the value of N200 million and three SUVs, amongs other mouthwatering prizes.

Speaking at the unveiling in Alaba International Market, Lagos, Mr Bolarinwa Animashaun, regional sales director, Lagos, said the new season will bring more goodies to the customers as the bank has taken their interest at heart.

“In the last fifteen years, we have been able to ensure customer loyalty, reward committed customers over time and show that we are a bank that is ready to empower people and partner with people.

“If I take it into specific figures, we have rewarded 26,696 customers and we’ve given a total sum of N6.5 billion over the period.

This Season16is interesting, because, we have seen a lot of opportunities to expand into digital opportunities and this time around, we will be rewarding 15,786 customers, and 10,000 of them will be digitally rewarded.

“This is almost half of what we have done over the last 15 years. So that is what is making it special. We have takenit into the possibilities of how technology can expand our business and reward customers”.

The draws for the new season are going to be the same like the previous ones as it will be held in different regions.

“So, we start from the monthly draws, quarterly draws and the annual draws. What makes it extremely interesting this year is that we will be rewarding with up to N200 million in prizes and we have added some very interesting gifts. We will be given out three SUVs as part of the N200 million price for this year”, Animashaun added.

At the unveiling, Access Bank conducted onsite draws where 48 customers who have DiamondXtra accounts and were present at the unveiling won cash prizes ranging from N20,000 to N200,000.

Breakdown shows 40 customers won N20,000 each, five customers won N50,000, two customers won N100,000, while one customer went home with N200,000.

Among winners of the N20,000 prize was Mr Victor Edobor, who said he opened the DiamondXtra accounts 24-hours before the draws.

One of the two winners of the N100,000 prize, Mrs. Maureen Nneka Oforka, said she was surprised to have won at the well-attended event as that was her first time winning any prize.

She said, “I have never won any prize in my life. This is my first. I came here reluctantly and thank God, I am here and I am a winner of N100,000 which has already been paid into my account.

The grand prize winner of N200,000, Mr. Emeka Ezikeugo, a trader in Alaba, said. “I will forever be grateful to Access Bank for the prize as I was not expecting it. I thank the bank for showing leadership among its peers”.

To be part of the winning train and qualify for the DiamondXtra season 16 which is open to both new and existing customers, new customers are required to open a DiamondXtra savings account with just N5,000 by dialling *901*5# or walking into one of our branches to open the account.

However, the more multiples of N5,000 both new and old customers save, the higher their chances of winning at the monthly, quarterly and annual draws.

DiamondXtra is an interest yielding hybrid account which allows deposit of both cash and third party cheques. Hybrid means a combination of both savings and current account features. The DiamondXtra reward scheme has given away over N6.5 billion in cash and household items to over 15,000 loyal customers over the last 15years.  Please click HERE to learn more.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


Kindly share this post
Continue Reading

E-Financial

Lafarge Africa Launches Girls-in-Tech Programme to Empower Women Innovators

Published

on

Kindly share this post

Recognising the underrepresentation of women in the technology sector, Lafarge Africa Plc, has launched the Girls in Tech Program, a pioneering initiative aimed at empowering young women in technology.

Meticulously crafted to bridge the gender gap in tech and empower 10 young females between the ages of 18-25 years from Lafarge Africa Host communities in Cross River State, the program is poised to make a significant impact in the region.

The Girls in Tech Program seeks to harness the unique talents of these young women and introduce them to the dynamic world of technology. By providing them with essential skills and opportunities, the initiative aspires to equip them to become self-reliant as well as problem solvers in society.

In collaboration with Aptech and Arena Multimedia,globally recognized leaders in technology incubation and opportunity, as well as The Bridge Leadership Foundation, the boot camp promises to be a transformative experience for the participating girls, who are eager to make their mark in the tech industry.

Speaking during the onboarding to flag-off in Calabar recently, the Plant Manager, Lafarge Africa Plc, Sotirios Valsamakis, who was represented by the Human Resources Business Partner, Lafarge Africa Plc; Barong Ita, revealed that the program was in line with the company’s commitment to diversity and inclusion.

She also added that the initiative is designed to ignite a spark of inspiration, hope, and possibilities in the heart of the selected girls across the host communities.

“As an organization, people are an integral part of our sustainability drive, and we are invested in building lasting progress by empowering members of our host communities. We also recognize the need for greater and greener diversity and inclusivity within the tech sector.”

Today’s event is not just about launching a program. It is about igniting a spark of inspiration, hope, and possibilities in the hearts of these young women. It is about challenging stereotypes.”

Also speaking at the event, the Cross Rivers State Commissioner for Science, Innovation & Technology, Justin Beshel represented by Edwin Adie, Technical Senior Advisor, Cross Rivers State Ministry of Science & Technology commended Lafarge Africa for the initiative adding that it is in line with the State government’s plan towards science, technology and innovation development.


Kindly share this post
Continue Reading

E-Financial

Hydrogen, CCHub Partner to Encourage Fintech Startup Success

Published

on

Kindly share this post

As the country faces economic challenges, the need for adaptive strategies in the fintech industry becomes paramount. In line with this, leading Fintech startup, Hydrogen Payment Services Limited (‘Hydrogen’), has teamed up with Co-creation Hub (‘CcHub’) to host an insightful event themed, ‘Adapting Fintech Business Models to Economic Climes’.

The event, set to take place on Thursday, April 18, 2024, from 12:00 WAT at the CcHub office in Sabo, Lagos, will delve deep into the intricacies of Nigeria’s economic challenges and how these influence the fintech ecosystem.

Participants will gain actionable insights on how to adapt fintech business models to volatile economic conditions by prioritising flexibility, agility, and customer-centricity.

This collaboration underscores the shared commitment of both entities to empower aspiring founders venturing into the Fintech space amidst economic uncertainties.

By leveraging their respective expertise and resources, Hydrogen and CcHub aim to equip emerging entrepreneurs with the knowledge, tools, and support needed to thrive in today’s dynamic economic conditions.

Emeka Awagu, Chief Technology Officer at Hydrogen, commented on the strategic partnership with CcHUB: “Our alliance with CcHUB amplifies our shared commitment to pioneering transformative solutions in Nigeria’s fintech sector.

“By leveraging Hydrogen’s technological expertise alongside CcHUB’s innovative approach, we are primed to set a new standard for fintech excellence and drive impactful change across the industry.”

The event will feature a distinguished panel of industry experts and thought leaders, including, Ina Alogwu, Group Director, Digital Transformation, ARM HoldCo; Emeka Awagu, Chief Technology Officer, Hydrogen, and Miracle Ezechi, Digital Marketing Manager, Hydrogen.

The panel discussion will be moderated to encourage an engaging and insightful conversation on the strategies and innovations required to thrive in Nigeria’s Fintech landscape amidst economic challenges.


Kindly share this post
Continue Reading

Trending