Over the past couple of years, there’s been a lot of interest in cryptocurrencies and distributed ledger technology (also known as Blockchain). Now, a lot of people are busy investing in this cryptocurrency or that, and most of these investors are posting huge return-on-investment (ROI) values in a short time.
Yes, this is probably enough to make potential investors go over moon, it is equally important to keep in mind that: just as winners exist, so also losers exist in the cryptocurrency space.
In this article, we’ll be talking about one of winners – so far – in the cryptocurrency space: Sentinel Chain, an innovative blockchain platform built with the sole aim of providing financial services to those who have no access to them—known as the unbanked population. Its coin, Sentinel Chain Token (SENC) is still relatively new on the coin market. It was founded by Roy Lai, who spearheaded the implementation of Fast And Secure Transfers (FAST) in Singapore, which allowed banks to process transactions instantly.
Sentinel Chain was created in Q3 2017 and it has gradually gained traction and recognition among the new blockchain platforms. It the world’s first blockchain platform to accept the use livestock as collateral for securing loans. The company behind the Sentinel Chain project is InfoCorp.
According to its website, “The Sentinel Chain is a B2B marketplace specifically designed to provide affordable and secure financial services to the unbanked.”
Sentinel Chain partnered with VeChain Thor solutions to facilitate financial services and features to people of all social class, and make the world a much better place to live in.
Roy Lai, CEO of Sentinel Chain said, “Sentinel Chain’s partnership with VeChain will preserve the right of every individual, particularly the rural unbanked and underserved — to have full access to quality financial services such as livestock insurance and microfinance.”
Sentinel Chain aims to solve the long-standing problem of limited credit access for the unbanked population across Asia by creating a blockchain based platform.
To do this, they plan to unlock the value of livestock assets and make it easy to identify, quantify and verify their ownership. This makes it possible for them to be used as collateral for insurance and loan purposes, and through the Sentinel Platform, the unbanked population can benefit and participate in growing markets.
The Current Problem of Loan Security
There is a problem most farmers face when they want to obtain loans from financial agencies—they have no proof of ownership of their livestock. Sentinel Chain aims to solve this problem by implementing the financial inclusion of farmers of various countries through collateralization of their livestock.
As it stands, it is virtually impossible to obtain loans on the collateral of cattle because there is no possibility of proving the ownership of the cattle. This is because it is tough to monitor the cattle and secure a loan based on that.
What Solution Does Sentinel Chain Proffer?
Sentinel Chain provides farmers with a platform where they can get microfinance hedging funds through local financing agencies, using nothing else but their livestock as collateral.
Currently, getting the cattle insured is a difficult task. Sentinel chain makes it easier through its local insurance partners.
The Sentinel Chain platform will make it easier for livestock owners to get their cattle insured and maintain their health records on the VeChain blockchain in a hassle free way.
After the cattle are insured and the records stored on blockchain, the next important thing is getting the farmers their much-needed loans. This is done by partnering with local financing companies who know the local co-operatives much better than they do.
Sentinel chain does a very diligent job of picking only partners who understand the local co-operatives, mode of operation and financial situation of the current market.
Apart from providing the farmers with loans, Sentinel Chain also enables the local financial companies to use the collateral data obtained from the farmers to get loans from international financing companies.
All over the world, there are a lot of like-minded people and communities who would like to be a part of this project. The Sentinel Chain platform makes it possible for them to contribute through its peer-to-peer lending feature already implemented into the blockchain.
This crowdfund is first given to the local financing companies, and then the funds are distributed to the local farmers who want to obtain loans.
Apart from using livestock as collateral for obtaining loans, the Sentinel Chain blockchain platform can also be used to receive international crowdfunding for local community development projects like humanitarian aids, emergency funds or disaster relief funds.
Global financial services like insurance, savings, payments, credit and investments are now being made available to the over 400 million unbanked population across Asia. This is really a token to financial freedom.
It is really brilliant that a platform like Sentinel Chain is working hard on unlocking the market potential of the unbanked economy and empower the unbanked population—there is a lot to gain.
‘Dead capital’ in developing countries can be accessed for overseas financial services. Sentinel Chain provides a platform on which these transactions and contracts are processed and verified.
Using Sentinel Chain, CrossPay and a RFID chip, the ownership of livestock will now be verifiable, and it will be possible to secure loans using livestock as collateral. Livestock RFID tag data is also stored on the Sentinel Chain, making it tamper proof and secure.
Since 2017, the team has been working hard on improving the blockchain and having successfully launched, they will go live with the second version of the platform in 2019.
Features and Value Proposition of Sentinel Chain and its token, SENC
The platform will make use of the Sentinel Chain Token to accelerate financial inclusion. Its ticker symbol is SENC. The SENC token is the native cryptocurrency of the Sentinel Chain and will be the only means of payment used on the platform.
SENC will be the first cryptocurrency to connect the isolated – not anymore, though – unbanked community to a global network of offshore financial providers via a B2B marketplace.
The Sentinel Chain Token (SENC) is a multifunctional token that comprises of 6 major features:
- Community Projects
Below is a summary of the features listed above:
SENC allows insurance companies to publish livestock insurance on CrossPay Blockchain, based on verifiable livestock assets on CrossPay Blockchain.
SENC allows local financing companies to publish loan agreements on CrossPay Blockchain, hedged on livestock collaterals.
Local financing companies can use livestock data stored on the blockchain as collateral to borrow from overseas financing companies.
SENC allows overseas peer-to-peer lending and crowdfunding platforms to use the service of Sentinel Chain to provide financing for local financing companies.
SENC allows overseas donors to use the service of Sentinel Chain to fund the local community projects like humanitarian aid or disaster relief.
Token holders can use the service of CrossPay Blockchain to make electronic payments with local merchants.
CrossPay Blockchain and CrossPay Mobile Application
The CrossPay blockchain will be the “local” blockchain to isolate communities and ecosystems based on currency. One of the main reasons for this is to exclude the volatility of the cryptocurremcy market, as the local CrossPay blockchains will all have their own LCT (Local CrossPay Token), pegged to the local currency.
Crosspay is a feature which allows cashless transactions to be conducted between the workers and merchants operating within the locality. The CrossPay solution was made available to 16,800 migrant workers in Singapore.
The CrossPay Mobile application is a simple mobile application built for Android devices. Specifically designed for the unbanked, it is ideal for use in pockets of local ecosystems—it is more than just a wallet. It provides: identity and asset tracking, and financial services for the Unbanked population.
The CrossPay Blockchain acts as the bridge between the unbanked and the global financial economy while the Sentinel Chain acts as a B2B marketplace for the offshore financing services and peer-to-peer lenders.
Pre-sale and ICO
The total token supply of SENC during the token sale is 500 million tokens, with 200 million tokens allotted for the token sale (which is 40 percent of the total coin supply).
The token pre-sale and public sale were given 100 million SENC each. During the presale, a 25 percent bonus was given on every purchase.
Sentinel Chain’s aim was to raise $6.4 million USD, but with the support of their investors, they surpassed that threshold.
Although they could have easily achieved the target goal of $14.4 million USD (representing the hard cap) during the Pre-Sale period, they decided against doing so because, according to them, it was neither their intention nor mission; it was not in line with their vision for the project.
Sentinel Chain is more than just a product — it is a growing community of people who truly believe in the value of the Fintech promise. The main goal was to create transformative opportunities for the millions of people who are unbanked.
The promise that Fintech innovations such as Sentinel Chain will one day make it possible for the underserved to safely leapfrog into a more inclusive financial economy must be fulfilled.
They’ll conduct a fair and transparent token distribution so as to give everyone a chance to participate in the Sentinel Chain Token Sale and purchase SENC tokens.
According to information published by the Sentinel Chain team, “The SENC Token Distribution is built on the 3 basic principles — support, community and most importantly, [their] mission towards financial inclusion.”
The public SENC token sale is scheduled to commence March 15, 2017. During this period, 100 million SENC tokens will be put up for sale, with the goal being to raise $8 million USD. The tokens will be issued to participants three days before they are available for trading on exchanges.
SENC tokens are ERC20 compliant tokens, which implies that they can be stored on Ethereum compatible wallets. Non-professional investors from the United States and China (or any other country which restricts token sale) will not be allowed to participate in the token sale.
The public sale uses a proof-of-support method, which is essentially a rewards-based process.
Proof-of-Support is Sentinel’s exclusive whitelisting campaign — which may very well be the first of its kind in the ICO space. With Proof-of-Support, participants will be rewarded with token allocation upon proof-of-submission of their sharing efforts.
All you just need to do is poke, tweet or text your family and friends to promote the message of financial inclusion — the primary driver of Sentinel Chain. This is an opportunity to spread the message, especially to the folks in the crypto space, that the Sentinel Chain Token Sale is not any ordinary ICO. This will provide a lot of people with the rare opportunity for them to learn about the project and InfoCorp’s promise to bridge the gap between the unbanked and the banked through financial technology.
All $8 million USD worth of tokens will be distributed using the Proof-of-Support algorithm. Submissions will be selected in the following order: quality; impact; early submission and; exposure.
The token allocation of the total supply of SENC is as follows:
- 40 percent will be distributed during the token sale (equivalent to 200 million tokens)
- 30 percent will be used for the treasury and reserve fund.
- 20 percent will be given to early investors
- The remaining 10 percent will be reserved for the Sentinel Chain founding team.
The funds raised from the total token sale will be used to develop the Sentinel Chain, implement a lot of features and some other things. Based on information gotten off the Sentinel Chain official website, here’s full breakdown of the use of the raised funds:
Liquidity pool (about 32 percent): Up to a third of the funds for maintaining the pre-funding liquidity pool of the CrossPay Blockchains and facilitate cross-border remittance on the Sentinel Chain.
Research & Development: Up to 29% of the funds for continued engagement in blockchain application and research to build an integral ecosystem among the local communities.
Operations: Up to 12% of the funds for facilitating alliances and collaboration with strategic partners and launch projects as described in Appendix C below.
Contingency: Up to 10% of the funds will be set aside for any unexpected project overruns.
Marketing & Business Development: Up to 7% of the funds will be used for marketing the Sentinel Chain model in different jurisdictions. This will include online and offline marketing activities, signing partnership relations with various business partners and signing agreements with potential partners from the livestock industry.
Sentinel Chain Development: It is paramount to continue with the development of the current technological infrastructure of Sentinel Chain. Up to 6% of the funds will be used to expand the talent pool of developers to build the various local community blockchains and improve the CrossPay user experience.
Legal & Finance (up to 4 percent): Dentons, Rodyk & Davidson LLP has been appointed to advise on regulatory and compliance matters, including providing independent legal advice. A strong in-house legal team will be created to navigate the legal landscape during project development and implementation. Crowe Howarth International has been appointed to advise on tax and audit matters. A robust in-house finance team will be created to manage the treasury and accounting functions in line with the global best practices.
Investors should note that this breakdown may be altered based on the outcome of the token sale and project progress.
Meet The Team
If you wanted to know the team behind this awesome project (Sentinel Chain); well, here they are:
Roy Lai: CEO/CTO/Founder.
Chia Hock Lai: Foundation Member.
Anson Zeall: Foundation Member.
Zann Kwan: Foundation Member.
Anne Riana: Head, PR and Marketing.
Ziyang: Head, Community Management.
J.M. Murli Manohar: Project Director.
The whole team has a lot of experience with blockchain technology and finance. There are a lot of experts in various fields working together to create something extraordinary.
The Sentinel Chain Alliance has Maybank, InfoCorp, VeChain and MediShares as partners.
The Sentinel Chain project has received tremendous support from two major investors: Fenbushi Capital and iGlobe Partners.
You should definitely watch out for the next big thing in the blockchain space—a revolution which is set to bridge the gap between the unbanked and banked population, and provide global financial opportunities for the unbanked population.