How ReFi Hub Works & Our Sustainable Investing Focus

How ReFi Hub Works & Our Sustainable Investing Focus

What is ReFi Hub?

ReFi Hub is a platform designed to transform the way we invest in eco-friendly and sustainable businesses utilising blockchain technology. Our mission is to empower individuals by giving them control over where their money goes, ensuring it supports business that positively impact the environment.

Traditional investing often lacks control, transparency and impact. Money is managed centrally and occluded from the account holder. Furthermore, capital is often channeled into highly extractive sectors sucks as; oil, textiles and toxic debt. Finally, this is often justified by having a small ESG proportion within the investment product.

ReFi Hub answers to this, leveraging blockchain technology for climate finance to provide an alternative. Having total transparency on transactions, zero dependence on intermediaries and 100% of investments funding low carbon and regenerative outcomes.

ReFi Hub makes it easier for investors to know and determine the world their money is funding, ensuring it perpetuates positive change.
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How ReFi Hub works

Investing with ReFi Hub, has been designed to be as intuitive as possible.

Simply, log-in to the platform and access an array of businesses listings within the impact sector. With a simple transaction (made with your digital wallet) you’ll be able participate directly in peer-to-peer loan deals.

Additionally, you can monitor your portfolio on a personalised dashboard displaying financial and impact performance. All money flows are powered by the blockchain technology; ensuring transparency, security and speed of transactions. Below you will find a more detailed guide on how the lending process works.

*ReFi Hub will launch in Q3 2024, sign-up here to get priority access to investments.
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Lending Flow

1. Log-in & Select Investment Opportunity:‍

Investing with ReFi Hub begins by logging into the platform and determining which of the curated business you align with and wish to invest in.

2. Purchase LATs (Loan Agreement Tokens):

Once, decided you can purchase Loan Agreement Tokens (LATs). These tokens represent real-world loan agreements between you, the lender, and the borrowing business. These are safely stored in your digital wallet and linked to your identity.

3. Borrowing Business Utilizes Funds:

Once you've purchased LATs, the borrowing business receives the funds. These businesses use the borrowed capital to support and expand their operations, making tangible impact.

4. Interest & Principal Repayments:

The borrowing business periodically deposits interest and principal repayments into a smart contract (a computer code that maintains agreements between parties, executing automatically when predefined conditions are met). This process ensures that repayments are timely and accurate, leveraging the security and efficiency of blockchain technology.

5. Claiming Your Earnings:

As an investor (in possession of LATs), you will be prompted to claim your interest and principal payments from the smart contract at intervals. This is done through our user-friendly dashboard allowing you to monitor your earnings and reinvest them as desired.

6. USDC Repayment:

All loans on ReFi Hub are repaid in USDC (USD Coin), a crypto stablecoin pegged to the US dollar. This provides a stable and secure investment, protecting you from the volatility often associated with cryptocurrencies.

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Impact & Investment Focus Areas

At ReFi Hub, our mission is to create a positive impact in the world by supporting businesses that align with the United Nations Sustainable Development Goals (SDGs). Our ethical investing approach ensures that your money contributes to significant and measurable global outcomes. Above are our key focal areas for impact.

Business Criteria

ReFi Hub carefully selects businesses for financing to ensure investments are secure and profitable.

We evaluate each company's financial health, creditworthiness, and cash flow stability, focusing on those with strong financial statements, consistent revenue, and repayment abilities. To add an extra layer of security, some loans are backed by collateral and/or guarantors.

By choosing RefiHub, you’re investing in stable, promising enterprises that are poised for future success, helping you achieve your financial goals and make lasting positive change.
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Conclusion

ReFi Hub offers retail investors an opportunity to participate in sustainable and impact investing.

By leveraging blockchain technology, ReFi Hub provides a transparent, secure, and efficient way to invest your capital. All investment opportunities are vetted through a financial and impact process, and align with key United Nations Sustainable Development Goals.

Join ReFi Hub to take control of your investments, support positive global change, and contribute to a more sustainable and equitable future for generations to come.