Bybit Invests $1M in EthicHub to Empower Small Farmers

Bybit, the world's second-largest cryptocurrency exchange by trading volume, has invested $1 million in EthicHub, a blockchain-based platform dedicated to providing fair financial services to small farmers. This strategic investment is part of Bybit's commitment to the Blockchain for Good Alliance (BGA), an initiative aimed at harnessing the power of blockchain technology to drive positive social change.

EthicHub, a standout project supported by the BGA Incubation Programme, has been recognized for its mission to connect people with fair financial services. At the BGA Web3 Oscar event, EthicHub won the Grand Social Impact Award, further cementing its status as a leader in ethical lending practices. With Bybit's financial support, EthicHub will evolve into a platform that extends better financial services to small coffee growers, enabling them to secure fair loans and boost their productivity.

The investment from Bybit will establish the "Bybit Pool," a dedicated funding mechanism within EthicHub. This fund will provide small and medium-sized coffee farmers with equal borrowing opportunities, allowing them to secure fair loans without resorting to exorbitant interest rates from traditional financial institutions. Bybit's use of blockchain technology in this initiative aims to create economic opportunities for farmers and support rural communities.

The investment will remain within the EthicHub platform for continuous monitoring, with LendingDev, operating as EthicHub's company, providing performance reporting on the fund's progress three times each quarter. Bybit will receive an 8% annual payment for the next 15 months, ensuring a mutually beneficial partnership. Through this collaboration, Bybit believes it can help people without access to regular banking services, demonstrating that blockchain can generate both social benefit and growth.

EthicHub's team has highlighted the potential impact of the funds, stating that they will enable coffee farmers to secure better financial support, reduce farming wastages, and access bigger markets. Small coffee farmers have long struggled with unfavorable prices and lending practices, but ethical blockchain lending has begun to address these challenges. Bybit's investment will benefit many farmers who previously lacked financial security, allowing them to mechanize their businesses, invest in sustainable farming, and sell their coffee in global markets.