Divine raised $6.6 million in seed funding to expand its low-credit credits designed for borrowers without access to traditional credit.
The round, announced Thursday, was led by a venture company paradigm with participation from early and angel investors. Divine's announcement states that it has since launched in December 2024 and has issued over 175,000 loans to over 100,000 unique borrowers.
Unlike traditional lenders who require collateral or credit history, credit assesses the ability of a borrower to repay the borrower through their actions. The protocol starts with a small loan limit that expands to up to $1,000 for users who pay on time.
If borrowers intend to default, they are encouraged to do so early, reducing systemic risk. Loans are derived from stubcoin and settle in the global chain.
This product is distributed through world miniapps that reach over 15 million human environment users. Borrowers in countries such as Argentina, Nigeria and Colombia use services primarily for daily expenses such as food, medicines and utility bills. Interest rates are dynamically adjusted to cover expected defaults while still remaining competitive with local lending options.
On the liquidity side, deposits are limited to $2 million as the system expands. When loan demand is supplied and liquidity exceeds demand, demand is supplied and decreases, it automatically rises to attract capital. God said that seed rounds will fund employment and technical improvements, making trust more accessible to first-time users.
