On September 30, NFT Steez, a bi-weekly Twitter Spaces organized by Alyssa Expósito and Ray Salmond, met with Mashiat Mutmainnah to analyze how regenerative finance (ReFi) can bring more accessibility and inclusion to blockchain technology.
As a “mission-driven movement,” Mutmainnah explains that ReFi enables users to redefine their relationship with the current financial system and their relationship with finance and wealth.
Currently, in many countries, millions of people lack basic and equitable access to financial services that would allow them to meet their daily needs.
What if there were newer models that could sustainably alleviate this? According to Mutmainnah, ReFi can redefine what money means and how it is used.
What is the impact of ReFi?
Mutmainnah emphasized that ReFi raises awareness of how current financial systems operate in an “extractive” and “exploitative” manner. He also drew a comparison to fast fashion by explaining that allowing a user to buy a shirt for $5 is at the expense of a working child.
These “extract” systems no longer work for people, as a fundamental principle of ReFi is equitable accessibility and distribution.
Mutmainnah explained that ReFi is often seen as synonymous with climate, and while it is a mainstay, ReFi has enabled “tangible and accessible use cases.” Users can “connect” and participate in models and systems that can increase their overall prosperity and that of the ecosystem.
ReFi can therefore be seen as a way to triangulate elements of sustainability through climate “stabilization” and “biodiversity”, while maintaining equitable access within global communities. This has the potential to create new financial models and systems that can increase prosperity.
As Mutmainnah says:
“ReFi is helping people change the way they relate to money.”
When asked if NFTs could be used for social and public good, Mutmainnah referenced a pilot program involving an “NFT loyalty rewards program.” Similar to Starbucks latest NFT loyalty program, Mutmainnah explained how a similar scheme could deliver positive and sustainable benefits.
For example, imagine buying an NFT that can give the holder free coffee for 10 days. In these models, NFTs can generate more economically viable benefits than buying the item and, at the same time, generate more awareness of the good or service.
Contrary to the hype and speculation circulating about NFTs in 2021, more creators and platforms are branching out and exploring use cases for peer-to-peer and peer-to-business initiatives.
However, that doesn’t mean adoption is easy. According to Mutmainnah, beyond NFTs, there are many “infrastructure pieces” to explore, including creating more dynamic products that enable this.
Mutmainnah explained that it’s something of a dance between “making a product frictionless” for smooth adoption and empowering the user to be a “power” user who takes “full ownership of their assets.”
To hear more of the conversation, tune in and listen to the full episode on NFT Steez and be sure to mark your calendars for the next episode on October 7 at 12pm EST.
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