New technology makes us question ourselves about our identity much more than we used to. Its young and restless nature injects a rebellious attitude into our veins that pushes us to step beyond any traditional system and reinvent a new methodology. In recent years, how many sectors have undergone an almost complete change and are reborn with new views, concerns, methods, machines, and processes? The answer would’ve probably scared our society 20 years ago, but to us, it gives us even more courage to move forward.
With the utilization of blockchain technology, we are witnessing yet another grand alteration in the course of the world. We are seeing the destruction of another wall: the centralization of information and its unilateral interpretation. The definition of people’s identity that was made recently with the birth of the internet as well as old ones which have been in use for several centuries, are both undergoing a mind-boggling amount of modifications. The answers to the questions of “Who are defining it, what do they decide in order to define it, and most importantly, how do they decide it?” are currently being asked. Blockchain technology gave birth to the concept of self-sovereignty which is growing each day in scalability and it has already started producing new responses to the questions above.
Birth of Colendi
The Colendi Project was born 2 years ago when a group of people with a background in the area of the unbanked as well as the underbanked population decided to create a product that would encompass the outcasts of the existing financial system. The amount is estimated to be about 72% of the entire global population (read more about the statistics here.) The traditional methodologies have been failing to incorporate these crowds into their systems. That is why they are called “the unbanked or the underbanked” while every other person has some sort of an identity in the databases of financial corporations.
Colendi’s team has experience that dates back to several years ago when they provided credit card systems to a significant, yet a small portion of the unbanked population. This generated attention from the young community where the database outgrew 1 million users in only one market. The statistics proved not only the success of the team but also the urgent need of people to have a financial identity. That is when a new idea called the Colendi Project emerged, thanks to the groundbreaking innovation of decentralized blockchain technologies, merged with the decentralized systems, it provides everything the existing organizations couldn’t do.
So how is a simple concept able to calculate something that was quite impossible to do just a few years ago, moreover, how would it claim doing it and overcoming all the controversies about data usages and ownerships that more and more is becoming the topic of controversy? In order to understand more extensively what is the Colendi Project, how does it work, and what benefits the Colendi protocol provides, we have to start digging into the technology of blockchain and how does the Colendi protocol utilize it.
What is blockchain?
Decentralized, encrypted information block token concept was created on a global scale almost 10 years ago when a computer scientist who calls himself Satoshi Nakamoto proposed a new virtual coin that implements a distributed ledger amongst the online community’s computing power that would “mine bitcoins” to process p2p transactions. This ledger introduced to the world the concept of trustlessness in all transactions. In other words, Satoshi encrypted to secure the transactions in a certain manner, making the ledger transparent and unchangeable whilst allowing its users to protect their identities. The technology opened the door to so many ideas, majority being other virtual coins of different sorts. However, the Ethereum blockchain was different from its predecessors and started drawing considerable attention from the developing community. Ethereum proposed that p2p transactions do not have to serve as a way to only send/receive money, but also can be utilizable for establishing any other contracts between multiple parties, aka “smart contracts”. Ethereum allows new tokens and projects to be founded onto its blockchain, incorporating almost any idea to work with it. Consequently, the sector took a wild turn for the better after its introduction in 2014 and many more tokens started entering our lives.
The Colendi Project is one of the brightest ideas on the Ethereum blockchain with a global vision and a noble cause. The objective is to bring financial services to the people, especially the unbanked and underbanked population, through a secure interface where users would have 100% control over their information. The users are encouraged to share their information for their own benefits and enjoy the advantages of the Colendi ecosystem with lots of real-time shopping use-cases.
In order to accomplish this, the project gave birth to a mainframe where each user data is connected through a machine learning algorithm and defined the main components: Colendi ID, Colendi Score, Colendi Token and Colendi Application. In the second part of this blog we will be examining Colendi ID and, its functions and attributes that contribute to the mechanism of the Colendi Project as a whole.