THELOGICALINDIAN - Crypto startup ChitMonks has aloft 650k in a preseries A annular with the advice of earlystage investors Unicorn India Ventures UIV
The close aims to accommodate affairs by bringing 21st-century blockchain technology to the old-fashion chit-fund market.
“At ChitMonks, we are architecture India’s better blockchain arrangement for Savings and Borrowings. We synergize Chit Fund Companies, Regulators, Subscribers, Banks, Service providers, EcoSystem enablers to drive the better trusted arrangement of Savers and Borrowers platform.”
Records of Chit-funds go aback to the 19th century. They are a blazon of alternating accumulation and borrowing ability accomplished in India, area associates accomplish account contributions to body a pot.
An accessible bargain determines the everyman bid a affiliate is accommodating to booty that month. The acceptable applicant receives their bid bulk from the pot.
The actual pot antithesis is afresh redistributed appropriately amid the added members, bare an organizer’s fee. All associates accord afresh for the abutting month.
Chit-funds generally abide as an breezy adjustment amid accompany and neighbors. A authoritative anatomy does not assure member’s funds, and risks, such as acceptable bidders behind on the abutting payment, or abnormal record-keeping, present challenges to the operation of chit-funds.
With that, Co-founder and CEO of ChitMonks, Pavan Adipuram, thinks that his close can reinvent the chit-fund bazaar through the use of crypto technology.
“We believed that such technologies can redefine chit funds and they can re-emerge as a bonafide area area retail investors can advance and borrow money in a arguable manner.”
Modernization Through Crypto Technology
ChitMonks has developed a crypto powered belvedere that allows regulators to administrate chit armamentarium operations on a blockchain network.
The close works with chit armamentarium companies to accomplish their casework added efficient, and with the use of abiding crypto technology, abundant added accurate compared to acceptable cardboard records.
As allotment of their expansion, ChitMonks is rolling out its affairs to chit armamentarium companies of all sizes and beyond the accomplished of India.
They achievement that the advantages they offer, including action ability in collections and auctions, as able-bodied as bigger underwriting capability, for example, in account of acclaim checks and banking records, will improve the absolute chit-fund space.
On that note, Bhaskar Majumdar, Managing Partner at UIV, sees a absolute charge to revamping the chit armamentarium sector. He believes, by accomplishing so, the users of chit-fund casework angle to account immensely.
“Even afore the accepted COVID-19 scenario, we saw the abeyant in ChitMonks to accommodate the accepted aged arrangement of the chit armamentarium industry by bringing the accomplished ecosystem online. It is in-line with our aesthetics of advance in businesses that can digitize accepted processes and accomplish them added cellophane and accessible.”
UIV’s aggregate eyes and aplomb in the belvedere will acquiesce ChipMonks to advance India’s better blockchain arrangement for savers and borrowers.