We are pleased to announce Collegecoin, a new “blockchain for impact” project on a mission to help college students graduate debt-free and increase education around the world. Our token launched last week on the Stellar Decentralized Exchange (SDEX).
To accomplish our mission, we are developing a suite of mobile and web applications powered by the Stellar network designed to put more money into the hands of students and their families. Through our soon-to-be released mobile app, College Wallet, students can request and receive money in minutes and have access to a large inventory of blockchain-based financial aid awards. Parents can contribute into smart-contract powered educational savings accounts (ESAs), with access to an ever-widening range of new blockchain assets.
Rising tuition costs, a predatory student loan industry, and an absence of consumer protections for students have all created a crisis that threatens human progress. Student loan debt approached $1.5T in 2017, making it the second highest consumer debt category. The average student leaves college with almost $40K in student debt, often requiring high monthly payments for over a decade after graduation. Defaults on student loans are around 40% and rising.
There are many new tools available to battle this crisis -- tools that didn’t exist even five years ago. The blockchain and smart contracts have ushered in a new financial era. Everything from instant, low-cost money transfers to trustless college trusts and other educational gifts can all be done on the blockchain using smart contracts, making it easier for families to save money towards higher education and to assist along the way. A greater level of transparency can be brought to educational charity and impact investing, and entirely new lending strategies based on smart contracts are now possible. All of this has the potential to disrupt education finance.
We’re excited about being one of the very few cryptos in this young space launched by a non-profit and focused on social good. We’re also excited to be one of the first open blockchain tokens launched out of Wyoming since the recent legislation was passed there.