BERLIN, Jan. 24, 2022 /PRNewswire/ -- Encointer, a framework for the formation of voluntary, local, and digital community tokens, has been granted a common-good parachain slot on Polkadot's canary network, Kusama.
Web3 & Financial Inclusion
Through Encointer, any geographically concentrated group can create, distribute, and use their own digital community tokens, which promotes genuine financial inclusion for Web3.
Encointer began onboarding to the network on January 9th 2022, and plans to initiate the first real-world token communities throughout this year.
Web3 offers the opportunity to foster greater financial inclusion in developing regions, in turn enabling new forms of democratic action.
The integration of Encointer is a watershed moment in the effort to make Web3 services globally available and relevant in the future, preparing the groundwork for the transition to a decentralized online system.
Tackling a critical challenge facing financial inclusion, Encointer provides a way to pay fees in a localized token that is adjusted to local purchasing power. Paired with the flexibility of Polkadot, it is easier than ever to onboard people with lesser means, allowing them to build localized Web3 financial services.
It's a robust solution for people in developing countries and markets who are currently excluded from the modern-day financial system.
Alain Brenzikofer, Founder of Encointer, commented: "Improving financial inclusion is imperative for Web3 to play a meaningful role for humanity. I am profoundly encouraged by the support from the Kusama council and KSM holders for this initiative. Launching a common-good parachain on Kusama is a significant milestone for the Encointer project and an ideal platform from which to experiment, optimize and expand."
Economic Enrichment
In addition to localized tokens, Encointer also takes a novel approach on securing unique identity systems within Web3 services. The protocol stipulates that every participant needs to be willing to prove their personhood at physical key-signing events, making Encointer more secure.