Divine Research has issued 30,000 unsecured USDC loans using World ID for biometric verification, marking a new direction in decentralized lending.
Financial Inclusion Through Biometric Verification
Divine Research actively promotes financial inclusion by issuing 30,000 unsecured USDC loans. Utilizing World ID, developed by Sam Altman, this initiative aims to improve access to finance for markets where traditional lending options are limited. This system offers loans under $1,000, making it accessible to most in need.
Innovations in Decentralized Lending
The World ID technology ensures security by preventing users with existing debts from opening multiple accounts. In this context, Divine Research's approach not only increases trust among lenders but also minimizes risks associated with fraud in decentralized finance systems. According to Divine Research, "It uses World ID to ensure users cannot open multiple accounts after defaulting."
Prospects and Impact on Financial Sector
Although the actual financial consequences of the program have not been disclosed, the loan issuance volume indicates significant blockchain activity. This loan model is expected to influence future decisions in user identification, combining biometric technologies with lending practices. Sam Altman's technology sets a new standard in identity verification, opening opportunities for broader adoption in financial technologies.
Divine Research's initiative to issue unsecured USDC loans via World ID demonstrates the potential to expand financial opportunities in high-risk markets, using advanced technologies to minimize risks and increase loan accessibility.