Velo Labs plans to develop a new payment solution for Asian citizens with the help of Visa and Lighten Group.
The Stellar-backed company believes the new solution will help normal users access payment services more comfortable and faster. The collaborating companies have signed a Memorandum of Understanding (MoU) to develop the new solution. Their payment system will help lending markets in Asia.
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Velo Labs is the owner and developer of Velo Network that focuses on credit exchange networks. The company is backed by Stellar Network and CP Group and currently has a vast user-base in southeast Asia. They try to connect traditional and innovative financial systems to provide a comprehensive solution for businesses and individuals. Their recent partnership with Visa and Lightnet is no different and focuses on small to medium-sized companies in Asia.
The focus area of service for the future payment solution from Velo Labs and partners is called the micro, small and medium enterprise (MSME) lending market. A significant portion of the unserved market in this section is in the Asia-Pacific (APAC) region, and the new payment solution will help them find better services.
Lightnet Group is a Singapore-based fintech company that focuses on innovative financial solutions in the final product. Tridbodi Arunanondchai, Vice Chairman and Group CEO of Lightnet Group, said about the recent partnership:
“Being new-to-credit or lacking creditworthiness is often an obstacle to achieving one’s financial goals, such as securing loans to start a business or even buying a car. We are delighted to be a part of this unique cooperation along with trusted partners like Velo Labs and Visa. We are providing customers from the MSME market with another pathway to build credit and improve financial wellness.”
One of the essential results of Velo, Lightnet, and Visa’s partnership is a fast transaction that will help participating banks or any other financial service provider. They plan to offer credit to users who deposit digital assets. It will help people with no prior bank credit to receive this kind of financial service easier.
Chatchaval Jiaravanon, Chairman of Velo Labs, said:
“This agreement is a testament to Velo Labs’ and its partners’ continuous efforts to achieve financial inclusion for millions in the under-served MSME lending market. It also illustrates VELO’s capacity as a bridge asset enabling greater financial inclusion.”
Velo Labs and partners claim their new patent solution will help more than one billion people in the APAC region. These people didn’t have proper access to bank services and can enjoy financial products using digital assets. VELO token will serve as the primary digital asset in this new solution. This plan surely helps Velo Labs to expand its reach in Asia.
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