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How Fintech Can Continue To leverage Blockchain Technology

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Blockchain technology is a game-changer for fintech innovation. It offers many opportunities and advantages for fintech companies and customers to create new value propositions, improve existing services and products, and address current pain points in the financial sector.

Blockchain technology is a system of distributed ledger that records transactions and data in a secure, transparent and immutable way. It has the potential to transform various industries, especially the financial sector, by enabling faster, cheaper and more efficient transactions, as well as enhancing trust, security and privacy. 

On the other hand, Fintech, or financial technology, is the use of innovative technologies to provide or improve financial services and products. Fintech encompasses a wide range of applications, such as mobile payments, peer-to-peer lending, crowdfunding, robo-advisors, digital currencies and more.

One of the main applications of blockchain technology in Fintech is digital payments. Blockchain technology enables fast, low-cost, and borderless transactions, without the involvement of intermediaries or third parties. This can reduce transaction fees, improve customer experience, and increase financial inclusion. For example, Ripple is a blockchain-based payment network that connects banks, payment providers, and digital asset exchanges, enabling them to send and receive money in any currency. Ripple claims to process over 1.5 million transactions per day, with an average settlement time of 3.7 seconds.

Another application of blockchain technology in Fintech is smart contracts. Smart contracts are self-executing agreements that are encoded on the blockchain and triggered by predefined conditions. Smart contracts can automate and streamline various processes and transactions in the financial sector, such as trade finance, insurance, lending, and asset management. For example, Etherisc is a blockchain-based platform that provides decentralized insurance products, such as flight delay insurance and crop insurance. Etherisc uses smart contracts to automatically verify claims and pay out customers, reducing fraud and operational costs.

Blockchain poses some challenges and obstacles that need to be addressed carefully. Fintech companies should leverage on blockchain technology strategically by assessing their needs, goals and capabilities; selecting the most appropriate blockchain platform; complying with relevant regulations; engaging with stakeholders; testing their solutions; learning from feedback; iterating their products; scaling their operations; measuring their impact; adapting to changes; collaborating with partners; innovating continuously; delivering value to customers; achieving competitive advantage; creating social good; contributing to financial inclusion; advancing economic development; shaping the future of finance.

Fintech can leverage blockchain technology to create new opportunities and solve existing challenges in the financial sector. Some of the benefits of blockchain for fintech are:

Reduced costs and intermediaries: Blockchain can eliminate or reduce the need for intermediaries, such as banks, clearing houses, payment processors and regulators, by enabling direct peer-to-peer transactions. This can lower the transaction fees, operational costs and administrative burdens for fintech companies and their customers.

Increased speed and efficiency: Blockchain can enable faster and more efficient transactions, by reducing the processing time, verification steps and human errors. Transactions can be executed in real-time or near real-time, without the need for manual intervention or reconciliation. This can improve the customer experience and satisfaction, as well as the scalability and performance of fintech solutions.

Enhanced security and transparency: Blockchain can enhance the security and transparency of transactions and data, by using cryptographic techniques, such as encryption, hashing and digital signatures, to ensure the authenticity, integrity and immutability of the records. Transactions and data can be verified and audited by anyone on the network, without compromising the privacy or confidentiality of the parties involved.

This can increase the trust and confidence among fintech stakeholders, as well as reduce the risks of fraud, corruption and cyberattacks. Civic is a blockchain-based identity platform that allows users to verify their identity and control their data through a mobile app. Civic partner with various organizations, such as banks, healthcare providers, and e-commerce platforms, to provide identity verification and authentication services.

Improved compliance and regulation: Blockchain can improve the compliance and regulation of fintech activities, by providing a reliable and immutable source of truth for transactions and data. Blockchain can facilitate the implementation and enforcement of rules, policies and standards, such as anti-money laundering (AML), know your customer (KYC), consumer protection and taxation. Blockchain can also enable the creation and adoption of smart contracts, which are self-executing agreements that are triggered by predefined conditions or events.

Blockchain technology is not a panacea for all fintech challenges, however. There are still some limitations and barriers that need to be overcome, such as:

Technical complexity and interoperability: Blockchain technology is still evolving and maturing, and there are various types of blockchain platforms with different features, functionalities and protocols. This creates technical complexity and interoperability issues for fintech developers and users, who need to choose the most suitable blockchain platform for their needs, as well as integrate it with existing systems and standards.

Regulatory uncertainty and fragmentation: Blockchain technology is still relatively new and unregulated in many jurisdictions, and there are different legal frameworks and approaches for fintech activities across countries. This creates regulatory uncertainty and fragmentation for fintech companies and customers, who need to comply with multiple and sometimes conflicting rules and regulations, as well as deal with potential legal disputes and liabilities.

Cultural resistance and adoption: Blockchain technology is still unfamiliar and misunderstood by many people in the financial sector, who may have doubts or fears about its benefits, risks and implications. This creates cultural resistance and adoption challenges for fintech companies and customers, who need to educate themselves and others about blockchain technology, as well as overcome the inertia and habits of traditional financial practices.

The Rise of Artificial Intelligence and Cryptocurrency in the 21st Century

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The rise of artificial intelligence (AI) and cryptocurrency has been one of the most significant trends of the 21st century. Both technologies have the potential to transform various aspects of human society, such as economy, security, governance, and culture. However, they also pose significant challenges and risks, such as ethical dilemmas, cyberattacks, regulatory uncertainty, and social inequality. In this blog post, we will explore how AI and crypto are related, what are the benefits and drawbacks of their integration, and what are the implications for the future of humanity.

AI and crypto are both based on the principles of decentralization, cryptography, and innovation. Decentralization means that the power and control are distributed among multiple nodes or agents, rather than concentrated in a single authority or entity. Cryptography means that the data and transactions are secured and verified by mathematical algorithms, rather than by trust or intermediaries. Innovation means that both technologies are constantly evolving and improving, driven by the incentives of competition and collaboration.

One of the main benefits of integrating AI and crypto is that they can enhance each other’s capabilities and performance. For example, AI can help optimize the efficiency and scalability of crypto networks, such as by reducing energy consumption, improving consensus mechanisms, and enabling smart contracts. Crypto can help provide the infrastructure and incentives for AI development, such as by enabling data sharing, rewarding innovation, and ensuring privacy. Together, AI and crypto can create a more transparent, fair, and democratic system for value creation and exchange.

However, there are also significant drawbacks and risks of integrating AI and crypto. For example, AI can pose a threat to the security and stability of crypto networks, such as by launching sophisticated attacks, exploiting vulnerabilities, and manipulating markets. Crypto can pose a challenge to the regulation and governance of AI development, such as by enabling anonymous actors, facilitating illicit activities, and evading oversight. Together, AI and crypto can create a more complex, unpredictable, and volatile system for value creation and exchange.

Therefore, the integration of AI and crypto has profound implications for the future of humanity. On one hand, it can create new opportunities for innovation, empowerment, and collaboration. On the other hand, it can create new threats for disruption, exploitation, and conflict.

 The outcome will depend on how we design, use, and regulate these technologies. We need to balance the trade-offs between efficiency and security, freedom and responsibility, diversity and coherence. We need to align the goals and values of AI and crypto with those of humanity.

A New Revelation: $3.4 billion exchange in one transaction below market price [video]

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If this allegation is true, it would be very unfortunate. Did you read $3.4 billion exchange in one transaction below market price? Very unfortunate – and what a country! Possibly, that was the reason they did not open the Central Bank of Nigeria books for years. O di egwu (ordinary differential equation for a few, but “mystically wonderful” for others) .

The current audit of the CBN books will be a massive RELEVATION in Nigeria and could explain why Naira moved from N197/$ to N750/$ within 8 years.

More revelations loading….

Comment on Feed

Comment 1: Money heist. Economic banditry. We have neither money nor refinery, so it’s loss, loss.

At the end of the day it changes nothing, because thieves don’t catch thieves.

They all got national awards, remember, from MON to GCFR.

Children of perdition on steroid.

Comment 2: Prof.. it’s seems your tides of your admiration is shifting oh! Or has this revelation put a dent in the “Dangote System”?

My Response:

I do not have a side. I only report news and analyze data. Dangote does good, I praise him. If he does bad, I say so. I have no agenda. So, your “shift” is wrong. I do not shift. The problem in Nigeria is the notion that Tinubu, Dangote, Obi, etc can only be bad or good irrespective of what he/she does. That is not how I work. Dangote is admirable but that does not mean we cannot point out issues when we see so.

And to add, if you read the book, this validates the thesis in the book. The book, I guess you are yet to read, is saying that nations and citizens pay severe penalties for having conglomerates. Like Amazon receiving $billions of waivers for its second headquarters when other small firms in the USA have no chance. The book was about a system and not about a person. Take time to read it because this validates the core thesis of my book. If you have $10 billion to invest in Sokoto, you can get free land, etc which a man with $100 to invest in the state cannot get.

Regulatory Requirements For The Manufacture of Herbal Medicinal Products in Nigeria

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Herbal medicine is increasingly coming into the mainstream of healthcare, and with their increasing acceptance and consumption, comes a high rate of risks which require a higher amount of regulatory checks , especially in Nigeria.

The objective of the Manufacturing Guidelines for Herbal Medicinal Products as outlined by the National Agency For Food and Drug Administration and Control (NAFDAC) is to ensure that products are consistently manufactured in conformance with quality standard.

The NAFDAC guidelines are concerned with all aspects of production and quality control of Herbal Medicinal Products.

These guidelines are for the manufacture and storage of Herbal Medicinal Products.

It is necessary to emphasize that, no Herbal Medicinal Product should be manufactured, exported, advertised, sold or distributed in Nigeria unless it has been registered in accordance with the provisions of the Food, Drugs and Related Products Act Cap F33 LFN 2004 (formerly decree 19 of 1993) and the accompanying guidelines.

These guidelines cover the quality aspects of the product, but do not cover safety aspects for the personnel engaged in the plant, nor protection of the environment. Safety and environmental aspects are inherent responsibilities of the company and should be governed by National legislation and regulations.

These guidelines are not applicable to research and development activities of finished Herbal Medicinal Products. 

Good Agricultural and Collection Practice and Good Herbal Processing Practice which is a complement of Good Manufacturing Practice should be practiced in the various processing (primary, secondary or special) of the starting materials through the herbal preparation and/or herbal dosage forms of finished Herbal Medicinal Products and should precede Good Manufacturing Practice.

It should be noted that the manufacture of Herbal Medicinal Products of sterile origin (infusion, ophthalmic, solution, injectable, implants etc.) is beyond the scope of this guideline.

Definition of Terms

For the purposes of this document, the following terms and definitions apply.

Audit:- Systematic and independent examination to determine whether quality activities and related results comply with planned arrangements and whether these arrangements are implemented effectively and are suitable for achieving objectives.

Batch:- a quantity of any herbal product produced in a given cycle of manufacture that is uniform in character and quality.

Batch Number :- a designation in numbers and/or letters or combination of both that identifies the complete history of the batch, quality control and distribution.

Bulk Product:- any processed product, which will have to undergo the packaging operation in order to become a finished product.

Calibration:- combination of checking an instrument and adjusting it to bring it within its limits for accuracy according to recognized standards.

Cleaning:- all operations that ensure a level of cleanliness and appearance, consisting of separating and eliminating generally visible dirt from a surface by means of the following combined factors, in variable proportions, such as chemical action, mechanical action, temperature, duration of application.

Complaint:- external information claiming a product does not meet defined acceptance criteria.

Contamination:-  occurrence of any undesirable matter such as chemical, physical and/or microbiological matter in the product.

Contract acceptor:-person, company or external organization carrying out an operation on behalf of another person, company or organization. 

Contract giver:- person, company or external organization that contracts out an operation to another person, company or organization.

Control:- verification that acceptance criteria are met.

Documentation: all written procedures, instructions and records involved in the manufacture and quality control of products.

Finished Herbal Products/Herbal Medicinal Product:- a product, containing as active substances exclusively herbal drugs or herbal preparations. They may consist of herbal preparations made from one or more herbs. If more than one herb is used, the term mixed herbal product can also be used. They may contain excipients in addition to the active ingredients. It may contain by tradition, natural organic and inorganic active ingredients, which are not of plant origin (e.g. animal materials and mineral materials). Generally, however finished products or mixed products to which chemically defined active substances have been added, including synthetic compounds and/or isolated constituents from herbal materials, are not considered to be herbal medicinal products.

GENERAL CONSIDERATIONS

-In the manufacture of herbal medicinal products, monitoring is essential in ensuring that products of quality standards are produced. 

-Unlike conventional pharmaceutical products, which are usually produced from synthetic materials by means of reproducible manufacturing techniques and procedures, herbal medicines are prepared from materials of herbal origin, which are often obtained from varied geographical and/or commercial sources. As a result it may not always be possible to ascertain the conditions to which they may have been subjected. 

-In addition, they may vary in composition and properties. Furthermore, the procedures and techniques used in the manufacture and quality control of herbal medicines are often substantially different from those employed for conventional pharmaceutical products.

-Because of the inherent complexity of naturally grown medicinal plants and the often variable nature of cultivated ones, the examples of contamination with toxic medicinal plants and/or plant parts and the number and small quantity of defined active ingredients, the production and primary processing has a direct influence on the quality of herbal medicines. For this reason, application of GMPs in the manufacture of herbal medicines is an essential tool to assure their quality.

PERSONNEL

General Considerations

-There should be sufficient number of personnel with adequate knowledge, experience, training and education relevant to their assigned functions.

-The responsibilities placed on any one individual should not be so extensive as to present any risk to the product.

– Key personnel i.e. persons responsible for production and quality control, must be employed on full time basis.

-Personnel specific duties should be recorded in individual job descriptions and personnel should be given adequate authority to carry out their responsibilities. 

-Duties may however be delegated to designated deputies with satisfactory qualification and practical experience.

-All personnel should be responsible for the establishment and maintenance of high quality standards.

-Experts in the different areas of interest in herbal medicine manufacturing may be engaged upon documented confirmation of their education, training or experience in their areas of proficiency.

Organization, Qualification and Responsibilities 

-The organizational structure of the company should be such that different persons head the production and quality control sections, neither of which should report to the other. The organizational structure should clearly state the reporting lines for all key personnel.

-The head of production should have the requisite training and experience as well as knowledge and understanding of practical problems encountered in the manufacturing of herbal medicinal products.

 -The head of production should have authority and responsibility to manage production; covering operations, equipment, production personnel, production areas and records. 

-The head of quality control should have full authority and responsibility for all quality control duties such as establishment, verification and implementation of all quality  control procedures. He should have the authority to approve or accept starting materials, intermediates, bulk and finished products that meet specification or to reject those which do not conform or those not manufactured in accordance with approved procedures.

-Where necessary, the quality control activities could be outsourced with an agreement drawn to outline specific roles of concerned parties.

PREMISES

-The premises for manufacturing should be suitably located, designed, constructed and maintained to suit the operations to be carried out and facilitate good sanitation and hygiene.

-Effective measures should be taken to avoid any contamination from the surrounding environment and from pests.

-Painted line, flexible barrier in the form of mark or tape may be employed to prevent mixups.

-Appropriate change rooms and facilities should be provided. Toilets should be separated from the production areas to prevent product contamination/cross contamination.

At a minimum, defined areas should be provided for:

-Materials receiving bay.

-Incoming goods quarantine.

-Starting materials storage.

-Packaging materials storage.

-Processing and packaging operations.

– Storage of finished products.

-Laboratories (where available).

-Rejected materials and products.

-Returned and recalled products.

-Walls and ceilings should be smooth and easy to maintain. The floor in processing areas should have a smooth surface, easy to clean and disinfect and be made of non-slippery material.

-Drains in processing areas should be of adequate size and should not allow backflow. Open drains outside the processing areas should be avoided, but if required they should facilitate cleaning and disinfection.

-Buildings should be adequately lit and properly ventilated. Lighting points should flush with the ceiling and windows should flush with the walls.

-Pipework, light fittings, ventilation points and other service points in manufacturing areas should be installed in such a way to make for easy cleaning. 

-Laboratories (where available) should be separated from the production areas.

Storage Areas.

-Storage areas should be of sufficient capacity to allow orderly placement of materials such as starting and packaging materials, bulk and finished products, products in quarantine, released, rejected, returned or recalled products.

-Precautions should be taken to prevent herbal materials, preparations and finished products from degradation and infestation with pests as well as biological contamination. Where applicable, special conditions of humidity, temperature and light protection should be provided for storage of plants, extracts, tinctures and other preparations.

-The premises should be so constructed as to provide maximum protection for the starting materials, packaging materials and finished herbal products against birds, insects, rodents as well as domestic animals.

– Incoming fresh herbal materials should be processed, unless specified otherwise, as soon as possible; or appropriately at the required temperature, humidity or light. 

-For materials stored in bulk, liability to mould formation or fermentation could arise. Such materials should be stored in aerated rooms or containers using natural or mechanical aeration and ventilation.

-Wherever possible, sampling area for starting materials should be provided to prevent contamination

EQUIPMENT

Construction and Design

– Manufacturing equipment should be designed and constructed to suit manufacture of the product.

-The equipment surfaces in contact with starting material, in-process material and finished product should not react with or adsorb the materials being processed.

– Equipment should not adversely affect the product through leaking valves, lubricant drips and inappropriate modifications or adaptations.

-Equipment should permit effective cleaning, avoid dust or dirt build up and any adverse effect on the quality of products.

-Equipment should be closed or contained for intended usage. Where open equipment is to be used, precautions should be taken to prevent the risk of contamination.

-Non-wooden equipment should be used unless tradition demands the use of wooden material. Where it is necessary to use traditional equipment (such as wooden implements, clay pots, pallets, hoppers, etc.), these should be dedicated per product/material unless otherwise justified.

Installation and Location

-Equipment should be located to avoid congestion and permit free movement of man and material.

-Equipment should be properly identified using identification numbers to assure that products do not become admixed or confused with one another.

-Measures to assure protection of personnel, products and environment should be put in place.

Maintenance of Equipment

-Weighing, measuring, testing and recording equipment should be checked and calibrated regularly and all records of such activities should be maintained.

-Where applicable, calibration of equipment should be performed using standards traceable to certified standards and a calibration label affixed to such .

-Measuring instrument that do not meet calibration criteria or whose calibration date has expired should not be used but labelled “not permitted for use”.

SANITATION AND HYGIENE

-Sanitation and hygiene should be practiced to avoid contamination of products. It should cover personnel, premises, equipment, production materials and containers.

Quality Control Specifications

-All specifications should be approved by the Quality Control personnel.

-Raw and packaging material specifications should include:

-Name of material

-Description of the material

-Testing parameters and acceptance limits

Storage and Safety Conditions.

Bulk and finished product specifications should include:

-Name of product

-Description of product

-Physical properties of the product

-Chemical assay and/or microbiological assays and their acceptance limits

-Storage conditions and safety precautions.

Process as a Path to Sustainable Value Creation and Capturing for Startups in Nigeria

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In recent years, the entrepreneurial landscape in Nigeria has witnessed an exciting surge in activity. As the allure of entrepreneurship grows stronger, a multitude of aspiring individuals are drawn to the promise of success and innovation. Yet, amidst the eagerness to enter the market and capitalize on burgeoning industries, it is crucial to recognize that not all who venture into entrepreneurship are equipped to navigate the complexities of value creation and capturing.

 The key differentiator lies in the systematic and scientific processes employed to refine ideas and explore genuine opportunities that will drive sustained success.

Beyond the Buzz: A Journey of Thoughtful Creation

Entrepreneurial success is no longer a mere aspiration but a tangible goal that requires meticulous planning, dedication, and an unrelenting commitment to refining ideas. In Nigeria’s startup ecosystem, an influx of innovative ideas floods the market daily. However, the distinction between a fleeting notion and a groundbreaking concept lies in the systematic processes that transform raw ideas into viable solutions.

The process begins with critical analysis. Entrepreneurs need to question the viability, scalability, and sustainability of their ideas. Comprehensive market research and thorough gap analysis reveal untapped opportunities and guide founders towards creating solutions that address real pain points.

Crafting the Path to Sustained Value Creation

Creating value is the lifeblood of any successful startup. In Nigeria’s dynamic market, a robust value proposition is essential to attract and retain customers. But how can entrepreneurs ensure that their offerings resonate and stand the test of time? The answer lies in understanding the power of process-driven innovation.

The journey of value creation demands an iterative approach. Starting with a minimum viable product (MVP), entrepreneurs can gather invaluable feedback from early adopters. This feedback loop drives continuous improvement, ensuring that the solution remains relevant and effective as market dynamics evolve.

Capturing Value: The Dance of Strategy and Execution

Capturing value is as much an art as it is a science. Entrepreneurs must navigate pricing strategies, revenue models, and monetization channels that align with their offerings and resonate with their target audience. The process of capturing value requires a fine balance between strategic thinking and flawless execution.

For startups in Nigeria, a unique challenge arises from the diverse economic landscape. Tailoring pricing models to local purchasing power while maintaining profitability is a delicate balancing act. By systematically analyzing customer behaviors and preferences, startups can adapt their strategies to optimize value extraction.

Orchestrating Success Through Systematic Processes

The Nigerian startup ecosystem holds immense potential, but success is not an entitlement; it’s an outcome of meticulous planning and strategic execution. Entrepreneurs must embrace systematic processes that refine their ideas, drive value creation, and enable effective value capturing.

The journey begins with recognizing the value of patience and discipline. Entrepreneurs must avoid rushing into the market without the necessary groundwork. By investing time in market research, thorough validation, and strategic planning, startups can refine their offerings and ensure long-term viability.
In a world where innovation is celebrated, the true heroes are those who transform ideas into reality through a commitment to systematic processes. By embracing the power of refinement, Nigerian startups can not only survive but thrive in the competitive landscape.

The allure of entrepreneurship is only half the battle. Success lies in the hands of those who harness the power of systematic and scientific processes to refine their ideas, create sustainable value, and effectively capture that value. 

Nigeria’s startup ecosystem has the potential to reshape industries and drive economic growth, but only those who approach it with dedication, discipline, and a focus on process-driven innovation will rise to the top.