Velo — The Starting point
In the past 10 years, we’ve seen rapid development and progress made by banks and financial institutions in the race to become the no#1 player to change the game in the financial sector. However, with the emergence of Blockchain Technology, many believed that the disruption of the financial world has arrived at our doorstep.
Mr. Chatchaval Jiaravanon (Chat) is no different. Being a family member of CP group (Thailand’s largest conglomerate), the owner of Fortune magazine, and a serial entrepreneur with expertise in telecommunications, energy, and financial services, Chat does not plan to miss out on this opportunity.
In 2018, when Chat was an Advisory Committee member of the Southeast Asia-focused venture capital firm specializing in venture building, Kejora Ventures, he met with Tridbodi Arunanondchai (Beam), whom also worked as an Advisory Committee member in the company..
Not only Beam had extensive working experiences with the world’s leading financial services in the likes of HSBC Investment Bank, McKinsey & Co., AIG Private Equity and Finansa Securities, he is also the CEO of MoneyTable Public Company Limited, a leading Fintech company focusing on big data and techno lending. As a result of both mens crossing paths, the passionate pairs began to see the opportunity gap to disrupt the world of finance with fintech and blockchain technology.
In the beginning of 2018, Chat established Velo with Beam as his co-founder, under the mission to provide the underbanked access to financial services via leveraging the blockchain technology.
The recruitment of an all star A-team began with Mr. Suvicha Sudchai (Tom) to head up the business. Mr. Tom was previously the Head of Business Innovation of Krungthai Bank (KTB) and a former Managing Director of Digital Ventures, a digital arm of one of Thailand’s most reputable banks in Thailand, Siam Commercial Bank (SCB).
It was clear that a blockchain expert was required for Velo to be successful, hence Mr. Adirut Nithilerdviwat (Boss) was prompted to join the company as the CTO. Mr. Adirut is a founder of 100X studio — a famous local software development company specializes in Blockchain Technology. Boss is one of Thailand’s key opinion leaders and a well-known figure across the Blockchain community, as he is often invited to speak in various Technology / Blockchain events in Thailand.
Last but not the least, Jed McCaleb, one of the most prominent figures in the blockchain space, a co-founder of Ripple and a founder of Stellar became acquainted with Beam through his San Francisco connection and was convinced to join the board as an honorary advisor and later invested in shares to become part owner of Velo.
Blockchain and Cryptocurrency — the key to solve financial problems
In a traditional financial system, transferring or creating a contract with “money” usually comes with paperwork complexity and lengthy approval processes that take up to days to authorise. On the other hand, a digital form of cryptocurrency is a programmable money that allows users to make unlimited number of transactions via the blockchain technology without going through the intermediaries processes thus fortifying a faster and much cheaper alternative to the traditional banking method.
However, there are two main obstacles preventing cryptocurrency to go mainstream. First, cryptocurrency is very volatile. Even though it has impressive growth in terms of value but it is too fluctuated. Stability of price is something very important to the business world. If 3% fluctuation of foreign exchange rate is considered to be high, it is very clear that business cannot take risk of 10%+ volatility in cryptocurrency. Second, cryptocurrency has inadequate liquidity. It will not be able to satisfy the needs of larger businesses that need considerably higher transaction volume. These are two main problems that Velo wants to solve.
Velo Protocol — Next Generation Financial Protocol for Businesses
Velo protocol was established to promote financial inclusivity and instantaneous transactions for Asia’s underbanked population. Businesses can leverage Stable Digital Credit and trustless settlement infrastructure to serve financial services such as cross border remittance, credit scoring and digital lending to the underbanked.
To enter the market, Velo plans to utilize stable digital credit in solving particular problems in each business. For example, Stable Digital Credit can be used for credit scoring system, collateral for stable coin, digital lending system and many more. In addition, Velo Protocol will be used as decentralized payment system for Lightnet, a leading cross border remittance service provider. Thanks to the innovative technology, Lightnet can speed up the transaction internationally with lower operation cost. The benefit is also shared to consumers in the form of lower service fee.
Lightnet aims to be the world’s leading financial service provider that is easily accessible by everyone. Lightnet targets Southeast Asia as the first focused market. Later it plans to expand into China, Japan and finally global markets. Lightnet’s vision is to provide end to end financial service to consumers, which will eventually revolutionize the traditional finance.
To Learn More About Velo:
Telegram official channel: https://t.me/veloprotocol
Telegram announcement channel: https://t.me/veloann
Medium Blog: https://medium.com/veloprotocol/