Divine Raises $6.6M Funding Round to Expand Blockchain Microlending
Divine Raises $6.6M Funding Round to Expand Blockchain Microlending
Divine Secures $6.6M Funding Round
Blockchain-based microlender Divine Research has raised $6.6 million in a seed round led by Paradigm. The San Francisco–based company is developing a credit system for individuals excluded from traditional banking.
Divine’s approach uses undercollateralised stablecoin loans. Borrowers start with small amounts, and limits grow as trust is established. For millions without credit histories, collateral, or access to formal underwriting, the model offers a path to affordable finance.
The firm says more than 1.4 billion people worldwide still lack access to credit. Many rely on informal or predatory lenders. Divine believes blockchain and stablecoins can change that.
How Divine’s Credit System Works
Divine has built an automated lending platform called Credit. The system issues small loans, typically starting under $100. If borrowers repay, limits increase over time, reaching up to $1,000.
The model has shown promising results. Default rates remain close to zero as users repay responsibly. Since December 2024, the company has issued over 175,000 loans to more than 100,000 unique borrowers.
In Argentina, where inflation and limited banking access create constant stress, Credit is often called “la salvación del mes” — the month’s salvation. Borrowers frequently use the funds for groceries, medicine, and transport.
For liquidity providers, Divine operates a platform at credit.cash. Deposits flow directly into the lending pool. Interest rates adjust automatically based on demand, rising when more liquidity is needed and falling when excess supply exists.
Credit Access Through MiniApp
Credit is integrated as a MiniApp within Worldcoin, making it available to the network’s 15 million human-verified users. Borrowers can request funds, receive them within seconds, and build repayment history directly through the app.
This seamless access aims to lower barriers for people excluded from the traditional financial system. Vendors, nurses, and gig workers who lack paperwork or credit history can begin building trust with small loans.
Why Divine’s Model Matters
Traditional banks rely on credit scores, payslips, or collateral. These requirements exclude billions globally. Divine argues that a digital-first, trust-building system can expand credit without the risks of predatory lending.
The firm also taps into growing stablecoin adoption. By using digital dollars as the base asset, Divine ensures borrowers and lenders avoid volatility. For providers, programmatic allocation and automated interest rates create efficiency.
Paradigm’s investment signals rising confidence that blockchain-based credit can scale. Other backers include angels and industry veterans focused on financial inclusion.
Divine’s Growth Since Launch
Since its launch in late 2024, Divine has expanded quickly across emerging markets. Early adoption has been strongest in Latin America, where economic instability and lack of banking infrastructure make informal borrowing common.
Borrowers describe the platform as life-saving. Small loans of $50–$200 bridge essential expenses until salaries arrive or payments clear. Unlike payday lenders, Divine’s system does not charge excessive fees or trap borrowers in debt cycles.
The company believes that progressive trust-building is the key. By starting with tiny loans and scaling limits only after repayment, risk remains controlled while borrowers gain access to increasingly useful sums.
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The Path Forward for Divine
The $6.6 million funding will be used to expand global reach, strengthen liquidity pools, and grow the team. Divine is hiring engineers, credit specialists, and compliance professionals to scale operations.
The company also plans to deepen integrations with other digital wallets and ecosystems. Making Credit available across multiple platforms could significantly grow user numbers beyond Worldcoin’s 15 million.
“Traditional finance has failed billions of people,” Divine said in its announcement. “Our goal is to provide open, fair, and fast credit to anyone, anywhere.”
Why Investors Are Paying Attention
The bet on Divine reflects a broader belief in DeFi credit systems. If successful, blockchain-based microlending could open capital markets to people who were historically invisible to banks.
For investors, it is also a play on the rapid spread of stablecoins. As they become widely used for payments and savings, lending on top of stablecoins creates a natural next step.
With backing from Paradigm and others, Divine is now positioned to prove whether blockchain credit can scale responsibly while serving real-world needs.
Divine’s $6.6 million funding marks an important step toward building a new credit model. If adoption continues, the firm could demonstrate that trust-based digital lending can succeed where traditional banks have fallen short.
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