Blockchain Loans: Because Who Needs a Scholarship?

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The times they are a-changin’, and so are the ways we pay for education. Pencil Finance, a student loan real-world asset protocol, has issued its first-ever student loan capital raised entirely on-chain. Because who needs a scholarship when you can have a blockchain, right? 🤷‍♀️

A million bucks in loan capital, raised on the Pencil Finance platform, will be used to expand educational opportunities in emerging markets. The focus will be on Asia, including the Philippines and Indonesia. Capital will be distributed through ErudiFi, which will then issue student loans for tuition funding to university students. Because, you know, the kids are the future… and the future is blockchain 🚀

Now, users who provided the capital will earn yields based on student loan repayments. Specifically, $750,000 of the capital will offer a fixed 15% annual percentage yield. Another $250,000 will offer variable APY with first-loss risk. It’s like investing in the stock market, but with more homework 📚

Students in a classroom

Yat Siu, co-founder and executive chairman of Animoca Brands, believes that Pencil Finance demonstrates the real-world, positive use cases for blockchain. And who can argue with that? I mean, it’s not like blockchain has been used for anything shady before… 🤥

“By issuing student loans with funds that originated on-chain for the first time, Pencil Finance demonstrates how decentralized technology can directly empower learners and transform access to education worldwide,” Yat Siu, Animoca Brands.

Frank Li, co-founder of Pencil Finance, echoed this sentiment, stating that blockchain can have a meaningful social impact. The goal, he explained, is to make education across the world more accessible. Because, you know, education is key… and blockchain is the keychain 🔑

“For the first time, students across emerging markets can benefit from transparent, efficient funding powered by on-chain finance. We’re proud to help open doors for the next generation of talent,” Frank Li, Pencil Finance.

Animoca Brands is a game developer, NFT platform, and venture capital firm focused on crypto businesses. The company funds a large number of crypto-based startups, especially in Asia. Because, you know, Asia is the future… and the future is blockchain 🌟

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2025-07-10 16:09