One of Ghana’s top payment platforms noted for its innovative fintech solutions, Mazzuma wants to solve remittances problem in Africa with its cryptocurrency called Maz token.
Having worked in the fintech ecosystem for 5 years, the founders of the platform, Kofi Genfi and Nii Osae Osae have identified a number of hitches on Mobile Money platforms in Africa and are bent on correcting the wrongs by introducing Maz Token.
The aim is to ensure that cryptocurrencies gradually replace existing Mobile Money (MoMo) platforms as the primary mode of payment on the African continent by merging both systems on existing platforms.
The move is expected to accelerate cryptocurrency growth and further expose users to the advantages of blockchain based payments which will help correct existing problems with mobile money payments.
In simple terms Maz would ensure zero fees during transactions, top security for users and wade off transmission limits.
Existing problems that Maz wants to fix;
High transaction friction– Mobile Money gatekeepers charge exorbitant fees. Cross-telecom and cross-border exchanges are cumbersome, slow, and expensive. Registering accepting retailers creates high overhead costs which then get passed onto customers while limiting utility.
Security–Mobile Money suffers from centralized data storage, making it vulnerable to hacking. In contrast, decentralized blockchains are virtually impenetrable.
Inferior proofs of identity– In Mobile Money systems, subjective, badly-defined creditworthiness evaluations become barriers to entry. Many citizens are unable to prove who they are, what they do, and what they own in traditional channels.
Classist transmission limits– For instance; in Ghana, regular Mobile Money users cannot withdraw more than GHC 2,000 (USD $418) a day. These limits are far too small for financial activities of a middle-class individual— purchasing a car, buying an international airplane ticket, or funding school costs.
Reversion to Antiquated Models– Mobile Money largely replicates the traditional banking system’s exclusionary model. In other words, those using Mobile Money largely match up with banks’ existing subscriber base. New users face the same minimum income/balance hurdles, geographic obstacles, and identity barriers which cryptocurrencies correct.
Initial coin offering for Maz Token which started in June 2018 is still ongoing.
The Mazzuma application is currently available for downloads on iOS and android.
The founders of CYST creators of Mazzuma app were recently named among the 30 most influential entrepreneurs making strides in the technology industry in Africa (Forbes 30 under 30).
By Pamela Ofori-Boateng/Business World Ghana