BABB, a socially-oriented peer-to-peer mobile banking platform, has unveiled “ReDeFi” — a new decentralized Financial Market Infrastructure (FMI) platform that combines elements of traditional finance with blockchain technology.
According to a press release shared with Cryptoflies, the main goal of the platform is to address a major challenge in the financial sector — financial exclusion. It aims to create a financial ecosystem that is more cost-effective, transparent, and accessible, all while prioritizing principles of efficiency and inclusivity.
At the core of ReDeFi’s approach lies the introduction of the Onchain Money model — a tokenized deposit system designed to uphold the “Singleness of Money” principle. This principle asserts that all forms of money should be universally recognized, interchangeable, and maintain equal worth within a given denomination (i.e. $5 should maintain its value at $5, neither more nor less).
Unlike volatile cryptocurrencies or limited stablecoins, Onchain Money offers a blockchain-based representation of fiat currencies such as GBP, mirroring funds in traditional bank accounts without the need for token issuance.
One of the key advantages of Onchain Money is its integration with existing banking infrastructure, allowing for swift and cost-effective transactions across borders. By leveraging smart contracts, users can start transactions with speed and transparency, circumventing the need for intermediaries like banks or brokerage firms.
Moreover, ReDeFi’s implementation of Onchain Money addresses the exorbitant transaction fees prevalent in today’s financial systems, particularly affecting communities in developing economies. By offering transparent and verifiable transaction fees on the blockchain, ReDeFi aims to streamline financial exchanges and significantly reduce costs for users worldwide.
In the upcoming months, ReDeFi plans to launch its layer-1 blockchain, paving the way for the introduction of Onchain Money. The platform’s Initial DEX Offering (IDO) and token sale are anticipated later this year.
ReDeFi and Onchain Money embody BABB’s commitment to fostering financial inclusion and social impact since its establishment in 2018. With this initiative, BABB aims to revolutionize the global financial landscape and empower individuals and communities worldwide with access to affordable and equitable financial services.
