USING BLOCKCHAIN TO HELP MIGRANTS

LALA World aims to get 500,000 underbanked workers on board its financial service platform

BLOCKCHAIN-BASED financial product firm LALA World aims to get 500,000 migrant workers on board its ecosystem over the next 12 months.

Founded in April last year, LALA World’s vision is to empower the underbanked and underserved to perform various financial services without intermediaries and with minimum transaction costs.

A blockchain is a decentralised and distributed digital ledger that is used to record transactions across many computers.

According to the statement, migrant workers are charged around 10 per cent in commissions and fees when sending money to their families through intermediaries.

“Using blockchain, LALA World can reduce transaction costs to under one per cent, bypassing middlemen and ensuring significant savings for migrants and their unbanked families,” it said in a statement.

Services offered under LALA World are centred around LALA Wallet — a platform providing its users financial flexibility.

The firm is currently working with governments, businesses and local communities in Malaysia, Singapore, Turkey and Azerbaijan.

In Malaysia, LALA World has partnered with Bestinet Sdn Bhd to offer migrants, before leaving their home countries, a LALA Kit and onboard them onto the LALA World ecosystem.

Bestinet has offices and a working structure in 20 labour-sending countries, and currently cooperates and coordinates with the stakeholders there.

“Around 2.5 billion people don’t have basic access to proper financial services. The majority of the underbanked face severe challenges as they lack basic banking education.

“Sending paychecks to their hometown would take weeks, and to compound matters, they have to pay various charges, which can be pretty hefty,” said LALA World founder and chief executive Sankalp Shangari.