What is FarmCoin (FARM)?
FarmCoin is a security token by the Food Asset Coin Eco-System (FACES). FACES is a joint venture between Block Commodities and FinComEco (a subsidiary of GMEX Group), which will sponsor the development of commodity ecosystems using tokens (from third-parties initially) as the currency for transactions.
FACES’s mission is to provide infrastructure and resources to 700,000,000 unbanked farmers in Africa so they could feed their families, countries, and the world by providing secure transactions, eliminating corruption, and reducing borrowing costs.
By 2030 the population of Africa will double to 2.5 billion, and a financing and supply chain infrastructure has to be created that will prevent an unimaginable human catastrophe. This infrastructure will need to address the problems that hinder the development of many African countries, such as corruption, lack of market access, and perception-based debt expenses.
One of the best advantages of blockchain technology is that it enables the elimination of market inefficiencies such as corruption, market access, and perception-based debt costs.
The strategy of FACES is based on using their unique ecosystem to create real value for those farmers, enabling them to trade responsibly with a goal of increasing their income, moving from subsistence farming, and to being able to deliver economic wealth across Africa.
Delivering into many African countries at a governmental level will ensure that the FACES ecosystem can work with trusted partners in each country.
This is how the process will go:
- Global Commodity buyer agrees to buy a certain commodity from the exchange under a smart futures contract;
- The Commodity Exchange informed the Token Provider that it needs to lend $XX million of tokens to the farmers in the program;
- The Token Provider informs the local fertilizer distributor that xx MT of fertilizer will be needed, which is paid by the farmers in tokens;
- Once the commodity is harvested and sold to the Commodity Exchange (fulfilling the smart futures contract), the local fertilizer distributor’s tokens are redeemed by the Commodity Exchange for fiat or tokens paid with interest.
Read more in the FarmCoin Investor Presentation.
The FACES core fund team includes syndicate leader Steve Round, the founder of Change Account and Saescada, and the Chair at Ecology Building Society and the Big Issue Foundation.
Hirander Misra, the co-founding Chairman and CEO of GMEX Group; as well as Chris Cleverly, the founder of Trafalgar Chambers and CEO of the Made in Africa Foundation, a TV and radio presenter, as well as a contributor to newspapers and magazines that focus on Africa and its development.
Community & News
- Twitter (FinComEco): 82 followers;
- Twitter (Block Commodities): 204 followers;
- Facebook (FinComEco): 59 followers;
- Facebook (Block Commodities): 61 followers.
FinComEco’s website has its own news section, so here are some updates:
- Tech Innovation and the Future of Farming in Africa
- GMEX named as one of the leading Financial Services technology companies in UK blockchain economy
- Token Sale start date: May 21, 2018
- Token Sale end date: January 8, 2019
- Hard Cap: $42,000,000 USD
- Soft Cap: $3,000,000 USD
- Token Symbol: FARM
- Token Sale Price: no information
- Blockchain Used: Swarm Fund (private blockchain based on the Stellar protocol)
- Token Standard: SRC-20
- Token Type: Security
Intended Use of Funds
- Initial Working Capital: $2.5m USD
- Pilot Project Rollout: Up to $7.5m USD
FarmCoin is not alone in its efforts to help the unbanked, African farmers included. Projects that are trying to address their problems include Feedlot.africa and RainTrust’s Agro-Blockchain for Africa.
- Feedlot.africa is a fundraising platform for Africa’s emerging farmers in the Feedlot industry. Africa Trade Network in partnership with Seeds First Agri has initiated an ST20 security token sale with Polymath to raise funds for the South African Feedlot project.
- RainTrust’s project aims to improve livelihood and food security in Africa, protect and preserve the environment, and use blockchain to deploy capital and supply chain. In order to achieve this, RainTrust leverages the Stellar blockchain to power financial transformation, on all levels from microfinance to the supply chain.
FarmCoin (FARM) is a great idea with a noble cause behind it. The project has a good team with experience in relevant fields. The companies that launched the project are working hard on implementing it and have produced a detailed document on the reasons why such a product is necessary. That said, it would be nice to see more technical details, as well as the price of the token, which cannot be found anywhere.
- Swarm Fund page
- Website (FinComEco)
- Website (Block Commodities)
- Twitter (FinComEco)
- Twitter (Block Commodities)
- Facebook (FinComEco)
- Facebook (Block Commodities)
By Sead Fadilpasic