Ripio founder and CEO Sebastian Serrano and David Garcia the SVP conducted a public AMA on Telegram last Tuesday, commenting on Ripio Credit Network and clearing up many issues regarding the global credit network and the company’s next steps.

We invite you to read the most significant topics discussed.

Network agents

Regarding the RCN credit loans (explained on our previous Medium article), Serrano explained that the default risk will be addressed by the cosigner not the wallet provider. RCN expects the cosigners to be financial institutions with the ability to calculate the default risk, be solvent to cover the loan in case of a default and use local collection tools to manage the debt from the borrower side (refinancing, legal recourse, credit bureau reporting, etc).

The wallet providers, on the other hand, will also facilitate other agents (ID verifiers, scoring institutions & cosginers) to join the network.

Next Steps

The RCN team is launching their credit exchange next week, a most anticipated milestone that will favor all Ripio users in Argentina and Brazil to request loans in local currency, and allow lenders to look at the borrowers’ credit conditions to then take any loan available in RCN tokens.

RCN developers are also migrating the current Ripio Credit loans (so far held by the Ripio wallet) to the RCN network.

On the other hand, the RCN business dev team is engaging with lead companies around the world, helping them join the network and partner with local cosginers and financial institutions that will act as wallet providers and scoring agents.

Competitors

When asked about competing companies, Serrano stated that most of them are actually complementary instead of plainly competitors.

While the RCN project has similarities with Salt Lending, for example, the latter only works in crypto, is a centralized platform and requires a collateral from the borrower which usually has the need of funds.

Omisego, on the other hand, is focused on providing banking while RCN is focused on credit solutions. RCN could be a good credit liquidity provider for Omisego, and both companies could acctually be can be synergetic