Investment Opportunity

The future of the blockchain relies on its ability to scale in numbers of users. The future of Africa relies on its ability to feed itself. Accordingly, this is a high impact with high return opportunity in a real case scenario.

Successful “internet of data” businesses from Facebook and Google to AirBnB and Uber have been based on their ability to take first mover advantage and to aggregate huge numbers of users. This is an unserviced market of 700 million users (which will expand to 1.4bn in 2030), who are already exposed to mobile money, eVouchers, Warehouse Receipts and other digital payment systems. Not having legacy banking infrastructure such as ATMS, bank branches, stable and liquid currencies, their ability and incentive to embrace and adopt new technology and digital currency is enormous.

  • Cryptocurrency offers these users a way in which to move from subsistence farming to a sustainable and potentially dynamic lifestyle.
  • GDP growth rates in Africa are faster than anywhere else in the world.
  • Fertiliser use is lower in Africa than anywhere in the world, with average use of less than 10kg per acre compared to 160kg per acre in India and over 250kg per acre in Europe. Fertiliser is about 30% more expensive in Africa than in Europe. Combine these inefficiencies with commercial interest rates 20 times more than those in the developed world and the opportunity to disrupt and grow a market is clear.
  • Food production needs to increase by 60% over the next 15 years to feed a growing population.
  • Africa’s food and beverage markets are expected to top $1 trillion by 2030.
  • At 200 million hectares, sub-Saharan Africa is home to nearly half of the world’s uncultivated land.

Purpose of Capital Raise

The purpose of the capital raise is to provide initial funding for FACES to build out its ecosystem. Of the total amount being requested ($3m soft cap plus $42mn hard cap). Based on the hard cap $30mn is to cover initial CapEx and OpEx for all underlying technical infrastructure and working capital and $12mn for farmer financing.

For more information and to invest in FarmCoin please visit the Swarm Fund website