Digitizing Chamas: The Future of RoSCAs
Chamas, also known as Rotating Savings and Credit Associations (RoSCAs), have long been a cornerstone of communal finance across many cultures. They empower groups of people to pool resources, save together, and provide mutual financial support.
Why Digitize Chamas?
Traditional chamas face challenges such as manual record-keeping, lack of transparency, and limited access to broader financial tools. By digitizing chamas and bringing them onchain, we are solving these problems and unlocking new opportunities:
- Transparency: All transactions are recorded on the blockchain, ensuring trust and accountability.
- Security: Funds are managed using secure smart contracts, reducing the risk of fraud or mismanagement.
- Accessibility: Members can participate from anywhere, using their mobile devices.
- Automation: Contributions, payouts, and record-keeping are automated, making management effortless.
- Rewards & Integration: Members can earn rewards and access additional financial services, such as loans and investments.
How It Works
- Create or Join a Digital Chama: Easily set up a new group or join an existing one through our platform.
- Onchain Contributions: Members contribute funds digitally, with every transaction transparently recorded.
- Automated Rotations: Payouts are managed automatically according to the group slots lineup.
- Access to More Services: Digital chamas can access interest-earning products, peer-to-peer loans, and more.
More about Slots
A slot is equivalent to one periodic money withdrawal. To determine the order of money distribution among members, a drawing of slots is done and agreed upon before the start of periodic fund accumulation. A member can swap his slot with another through mutual agreement depending on the intended purpose. Such slot switching is allowed before the fund accumulation or periodic money withdrawal. A member who availed more than one slot may have the reserved right to choose the other slot pay date. Nevertheless, to avoid confusion, the admin should be informed of the changes before a payment process. Each member contributes the same amount on each round, and one member takes the whole payout once. As a result, each member can access a larger sum of money during the life of the RoSCA and use it for whatever purpose she or he wishes.
Our Vision
We believe in empowering communities by combining the trusted tradition of chamas with the power of Web3 technology. Our platform is designed to make communal finance more secure, transparent, and accessible for everyone.
