NFT Steez discusses the possibilities of ReFi and how it may advance social and environmental good with Mashiat Mutmainnah, Celo’s NFT lead.
Millions of individuals lack basic, equal access to the financial services that would enable them to satisfy their daily requirements in many different nations.
Alyssa Expósito and Ray Salmond, who present this week’s edition of NFT Steez, meet with Mashiat Mutmainnah to talk about how regenerative finance (ReFi) may make blockchain technology more inclusive and accessible.
ReFi, according to Mutmainnah, is a “mission-driven movement” that empowers individuals to reevaluate their relationships with money and wealth as well as with the present financial system.
What if there were innovative designs that might mitigate this in a sustainable manner? Mutmainnah asserts that ReFi has the power to alter the purpose and meaning of money.
ReFi, according to Mutmainnah, aims to raise awareness of how the current financial systems function in a “extractive” and “exploitative” way. She also made a connection to fast fashion, stating that in order for a consumer to buy a shirt for $5, a child laborer must be paid.
These “extractive” institutions are ineffective for individuals today, and ReFi’s central principle is equal distribution and accessibility.
ReFi has provided “concrete and accessible use cases,” according to Mutmainnah, who said that although this is a pillar and is frequently associated with ReFi. Users may “plug in” and take part in models and systems that can improve both their own and the ecosystem’s general prosperity.
ReFi may therefore be seen as a mechanism to maintain fair access across global communities while simultaneously “stabilizing” the climate and “biodiversity” as parts of sustainability. New financial models and systems that can boost prosperity may result from this.
As stated by Mutmainnah:
“ReFi is helping folks change the way they relate to money.”
Mutmainnah referred to a pilot study that featured a “loyalty NFT incentives scheme” when questioned whether nonfungible tokens (NFTs) might be utilized for the social and public good. Comparable to Starbucks’ most recent NFT loyalty program, Mutmainnah described how a similar plan may produce favorable and long-lasting advantages.
Consider buying an NFT that entitles the owner to a free coffee every day for ten days. In these models, NFTs can increase the visibility of the commodity or service while simultaneously providing more economically viable advantages than purchasing the item.
In contrast to the hoopla and rumors surrounding NFTs in 2021, more platforms and developers are growing and looking at real-world applications of peer-to-peer and peer-to-business projects.
But that does not imply that adoption is always simple. Beyond NFTs, Mutmainnah claims there are several “infrastructure components” to investigate, such as developing more dynamic goods that make this possible.
According to Mutmainnah, it’s sort of a dance between “making a product frictionless” for easy adoption and giving the customer the tools they need to be a “advanced” user who fully “owns their assets.”