Perhaps imagine being able to raise capital without a middleman? Or imagine investing in any asset without a middleman? Blockchain makes it possible. In fact, Verified Network uses blockchain to create a global platform for investment and financing.
We had the opportunity to connect with the ever-smiling Kallol Borah — leading the Verified Network — to learn more this platform. In this interview, you will learn all about the Verified Network, its token, current growth plans and see what the future holds.
Here is the entire interview:
1. Can you explain Verified Network in a simple language?
Verified Network is a blockchain platform to raise capital using investment products that are issued in digital form to investors, and the platform is also used to deploy capital by investing in assets recorded on the blockchain.
For example, small and medium businesses recording their financial data on the Verified blockchain which they want to use for being assessed for small business loans is an example of such assets.
2. What is so exciting about Verified that
everyone should know about?
What makes Verified very interesting is the way it integrates blockchain and digital currencies to real world financial markets. Capital raised by selling investment products and payment products are tokenized on the Verified blockchain platform and these tokens called Via are used to settle payments and investments in local fiat in other countries.
Via tokens unlike other crypto currencies are not traded on cryptocurrency exchanges and work within current banking and financial regulations and that makes it very practical to use.
3. Where is the Verified (Via) token used for?
What are its advantages?
The Verified token is called the Via. Via is not sold directly to investors nor is it generated automatically on a blockchain. It is backed by cash collateral paid in by investors and issuers. Via is an asset backed digital currency that is designed to be stable against major fiat currencies.
Since it is a derivative of a fiat currency, it is also usable in foreign currency swaps which are used to settle payments and investments in all major fiat currencies. The benefits of using Via are its stability, its integration with financial markets, and the very low cost of transactions.
4. Where is the ONE biggest challenge Verified
is facing and solving right now?
The biggest challenge on the platform front is the ability to integrate a digital platform and token to banking and financial markets.
Since regulation and laws are unlikely to change and adapt much, the design of the Verified blockchain platform and the Via digital currency had to be cleverly done to meet current regulatory and legal requirements, and yet have all the benefits that digital payments and financing bring.
5. What led to the foundation of Verified?
Verified started on a very different pitch in India when it was just an idea in October 2017. The initial work that was done was based on a blockchain application to collect, verify and assess financial data from Small and Medium enterprises and enable them to secure small business loans and make business payments.
This led the founding team to understand that there is a huge credit gap in India and instead of focusing on raising investments domestically from VCs and taking loans from banks which is what most digital lending fintech companies do, Verified was set up in Zurich in 2018 to source investments cost effectively.
Of course, the development of the Verified platform after that now makes it applicable to a large number of application use cases including lending.
6. What barriers of entry have you identified during the process of launching the Verified Network?
The most challenging barriers to entry are regulation governing issue and use of digital tokens, and the acceptance by main street banks and financial services companies.
7. Can you please tell us about
your background and your team?
Verified AG, which is a Swiss company, is set up by Kallol Borah (me). I have more than 18 years of experience in building and running technology business ventures across UK, Japan and India.
Other members of the team include very senior industry professionals having experience of running project financing, banking and merchant acquisition businesses in India and Switzerland.
8. How do you perceive blockchain technology?
Where do you think it is it heading in the next five years?
Blockchain technology is going past its early adopter phase and will now enter a new and more mature phase in its evolution. While blockchain technology has been made popular by public blockchains such as Bitcoin and Ethereum, they are far from being practically usable in robust, scalable, industrial strength applications.
Besides this, digital currencies and tokens are likely to completely change in how they work, the value they add and how they integrate to fiat dominated financial markets.
9. Great. Would love to know about partnerships?
We have a few active partnerships with banking, payments and merchant acquiring companies. We also work with some of the brightest people in law and finance from advisory companies who have helped us understand and navigate the regulatory and legal landscape.
10. What is your most important strategy right now?
From the business side, our main priority now is issuing the first tranche of investment certificates to family offices, hedge funds, and institutional investors in Europe and deploying the capital through wholesale lending deals in the high yield private debt market.
We need serious, professional, experienced people in our team and we will let our work and business performance do the talking. As far as technology is concerned, we plan to make the Verified blockchain protocol publicly available and welcome feedback from developers and experts around the world.
11. What is your expansion strategy?
Our single point agenda in the next six months to fully operationalize our investment raising and deployment model using this very exciting business model and innovative technology.