The challenge for millions of African farmers to use solar energy is how to pay for the high upfront investment that ultimately will save them money in the long run. Interviews in Eastern Uganda by Solarpipo have shown that paying in installments can best be realized, when the installments are directly deducted from the sales price that farmers receive for their products.
What it does
The product offers a common transparent book keeping system that none of the parties can manipulate - which helps to build a trustful relation between the three parties: the borrower - the collector of installments - and the lender (the company selling equipment).
How we built it
The system still has to be built
Challenges we ran into
The challenge is to explore how blockchain can provide a transparent book keeping system easy enough to be handled in Sub-Sahara Africa - and to compare blockchain solutions with alternatives.
Accomplishments that we are proud of
Solarpipo has interviewed hundreds of SMEs in Uganda and can judge how payment systems would work in this context.
What I learned
Blockchain transactions might solve the trust problem when three parties have to keep identical records of financial transactions.
What's next for Cool payments
Participation in the Decentralized Social Impact Accelerator will serve to provide more clarity on the feasibility of a blockchain approach to the trust problem.