In MVL's financing protocol, an innovative financial program that does not exist in the world is being operated.
Drivers of Southeast Asian ride hailing services such as TADA are highly recognized as profitable and stable jobs. However, in order to purchase the necessary vehicles for the service, drivers have to pay high interest rates of over 20%, and even this is difficult to obtain a loan. This is because the cash-centric financial infrastructure makes it difficult to prove drivers' income levels and stable jobs, and as a result, credit ratings by banks are not properly established.
On the other hand, advanced countries such as South Korea and Japan continue to maintain low interest rates at 0%, and many investors are looking for various investment destinations. In particular, advanced country investors with high awareness demand not only profitability but also innovation. In other words, their investment must meet the 'impact of investment' aspect that contributes to a better world and environment.
MVL is implementing a new financial model through the Financing Protocol that satisfies the needs of both Southeast Asian drivers and advanced country investors. This is a key competitive advantage that reduces investment risks by utilizing MVL's mobility technology and operational experience, as well as the technical characteristics of blockchain.
Both mobility technology and blockchain technology are used in the entire financing protocol.
TADA RH App. operates an alternative credit rating model using data such as driver's earnings and work sustainability generated by TADA. Therefore, excellent drivers can design and sell customized loan products that are suitable for them, which is what many local banks are referring to. In addition, drivers can automatically pay a portion of their TADA App earnings each month, so the loan repayment rate is very high.
ONiON Mobility operates a rental program in addition to vehicle production. Vehicles sold through installment plans are continuously managed in the system, and administrators can easily manage rented vehicles and payments through the dashboard. If the rental fee is continuously unpaid, alert messages are sent through the ONiON App. and TADA App., and drivers can also meet face-to-face at battery exchange stations that they visit every day. If the unpaid period is accumulated for a long time, V2X technology, which can remotely stop the vehicle, is also available.
MVL blockchain technology can greatly reduce psychological barriers for overseas investors. Investors who purchase vehicles receive an NFT connected to the vehicle, and ownership and rental rights of the vehicle are recorded through the NFT. In addition, investors can easily access their assets through NFT and clutch wallets. In other words, they can see the data of the vehicle recorded on the dashboard, driver information, investment income, etc. at a glance. In particular, a risk management system using smart contracts can greatly increase the stability of the product. A portion of the sales revenue from the NFT+vehicle product is stored in a separate treasury for risk management. For example, if there is a concern about default on the product due to long-term non-payment by a specific driver, a smart contract for risk management will operate and assign a certain amount of funds to the unpaid NFT address. MVL Token can be used for the construction of such a treasury for risk management.
(Key point) The special purpose treasury, Risk Treasury, operates through smart contracts.
When certain conditions such as three consecutive non-payments occur, MVL Token is automatically withdrawn from the Risk Treasury, and the MVL team can also change this.
From the investor's point of view, it is a crucial aspect of the financial product as it can minimize operational risks that may arise from MVL's services.
MVL can also be strongly motivated to manage drivers to confirm the revenue during the product operation period.
From the MVL holder's perspective, as the Financing Protocol becomes more active, the stored MVL Token quantity continues to increase, so it can be used as an indicator of judgment.
The core asset of Financing Protocol, MVL NFT, has various scalability in the future.
Currently, through NFT, it can prove ownership and rental rights of vehicles, and easily and in real-time access and check their vehicle assets in dashboards and various data boards even if they are in other countries.
In the future, as Financing Protocol continues to grow, NFT itself can incorporate new and diverse value-added services, which can be done in partnership with various partners.
For more detailed information, please refer to the following links:
(Business) Financing Protocol homepage and explanatory material: homepage, blog links
(User) How to use the Financing Protocol tab in the Clutch Wallet