This Blockchain Startup Holds The Key to The Future of Banking Sector

This Blockchain Startup Holds The Key to The Future of Banking Sector

Startups
September 9, 2019 Editor's Desk
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BABB claims that there will be a time when we no longer have to rely on banks. How? With BABB! So what exacty is BABB doing? Well BABB is building a decentralised platform leveraging blockchain and biometrics technology, and thus aims to provide peer-to-peer banking services to the global microeconomy. The BABB team is a
BABB Blockchain

BABB claims that there will be a time when we no longer have to rely on banks. How? With BABB! So what exacty is BABB doing? Well BABB is building a decentralised platform leveraging blockchain and biometrics technology, and thus aims to provide peer-to-peer banking services to the global microeconomy.

The BABB team is a house to many visionaries who are all blockchain and fintech entrepreneurs from across the globe, all diverse in their own way, spanning an exceptionally broad range of experience, knowledge and cultures.

But the real and a very personal story of BABB comes from Rushd Averroes, the founder and CEO of BABB who was born in Yemen. In 2009, he moved from Yemen to the UK where he could work and study.  It was therefore a necessity to open a bank account to receive his salary, pay the university fees etc.

 Unfortunately for him as an immigrant without an address his application was soon rejected by all of the major UK banks that too several times. He was dependent on those expensive pre-paid cards which were absolutely not favorable. 

His university had to end someday and he soon was working part-time which helped him get a basic bank account. He recalls the whole process and finds it extremely troublesome. 

His passion for FX trading helped him set up an online money transfer company which was designed in a way that it cut out the middlemen thus becoming a solution to immigrants by helping them send money home safely and cheaply.

The company obtained a money remittance license with the Financial Conduct Authority. But not soon did the banks in the UK decided to close down the bank accounts of all Money Service Businesses (MSBs). 

This baseless decision affected all MSBs in UK including Rushd’s company.

And just when he might have thought that he has see it all, his personal account, saving accounts and credit card were all closed at the same time, by Barclays, TSB and Jordan Bank. 

This took a toll on him at a personal level as he was not only completely excluded from the banking sector but also was a victim to privacy invasion. Every time he would call up the banks he had to disclose too much of his personal information. 

This whole event opened his eyes and made him realize the power of banks have over people. MSBs were a bridge between immigrants in the UK and their families all over the world which was completely ruined by this unjustified power demonstration by banks.

These two experiences changed the way Rushd viewed the banking sector. That is why he started BABB. At BABB they believe that banking has to be financially inclusive, fair and globally connected. 

At BABB they are committed to sharing their power rather than holding it. BABB aims to let people become their own banks and together they could help build the future of banking.

With BABB anyone in the world will have access to banking, regardless of their income, background or nationality. A smartphone is the only basic necessity.

“When you combine this highly advanced security with the reduced transactional and overhead costs of blockchain, it seems a clear solution. Traditionally, micro-transactions are incredibly costly to banks; on the blockchain this is no longer the case, making it a viable alternative to cash that high street banks are unable to provide. I knew that blockchain would allow me to make a difference to the lives of millions”, Rashd said while explaining why blockchain would the perfect platform for replacement.

We all can agree that the world is accepting blockchain at a rapid pace and this is already visible in the banking sector too as many high street and central banks across the world investing in blockchain projects, both internally and externally. 

Integrating blockchain solutions to make systems more efficient and cost-effective had made worked well for several industries across the globe.

It is interesting to see how personal experiences shape people and their ideas. With BABB taking an initiative to redefine the potential of banking sector via blockchain, we are yet to see what it has in store for the future.

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