Projects · Fidutam

Digital identity for the unbanked.

A SIM-card-based identity and zero-interest microlending system for people the banking system cannot see. Built by Fidutam, an MIT Solve Financial Inclusion Finalist, and deployed across six countries with U.S. pilots.

1,139

Unbanked individuals served

12,615

People reached

$400K+

In microloans issued

$250K+

In awards won

Why it exists

Without identity there is no credit; without credit there is no way in.

The system is built for the bottom billion, the population most exposed as AI reshapes low-wage work, and the least served by the systems being built in response. Beyond financial inclusion, it stands as a working proof of concept for an AI-funded UBI or windfall system.

The design is deliberately stakeholder-first. Where projects like Worldcoin have pursued a similar goal while undermining user privacy, here every piece of sensitive data stays on the holder's own device, and the network holds only a hash.

01 · Registration

Enrolment that works without the Internet.

Most unbanked people cite missing identification or physical access as the reason they have no account. Registration therefore runs entirely offline: the applicant installs the app by SIM applet, SMS, or download, enters their details with a selfie, and two nearby registered users vouch for their identity in person. A PIN and a verifiable digital ID are issued on the spot, and the record syncs whenever the device next connects.

01

Install

SIM applet, SMS or WhatsApp flow, or the standalone app — no Internet connection required.

works offline
02

Enrol

The applicant enters personal (and business) details and captures a selfie on the device.

03

Confirm

Two nearby registered users vouch for the applicant's identity in person.

04

Issued

A PIN and a verifiable digital ID are created; the record syncs when the device next connects.

02 · Architecture

The data stays with its owner.

Personal details, the selfie, and the loan record live only on the holder's device. The decentralized server keeps nothing but a one-way hash of the identity, so there is nothing meaningful to breach. Access happens through a generated QR code and is unlocked only by the holder's PIN or registered phone number.

The device

Personal details, the selfie, and the loan record are stored locally — never uploaded.

one-way hash

Decentralized server

Holds only a one-way hash of the identity. There is nothing meaningful to breach.

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generates

Access

A generated QR opens the ID — after the holder confirms their PIN or phone number.

Wrong PIN or number: no access. Every microloan received or repaid updates the identity's record.

03 · The lending cycle

Zero-interest capital that comes back.

A community fund, held by a vetted local nonprofit under a memorandum of understanding, issues microloans of fifty to one hundred dollars at no interest. Borrowers put the capital into socially beneficial income, repay within twelve months, and every disbursement and repayment is written to the digital ID's record. Repaid capital returns to the fund and is lent again.

Community fund

vetted local nonprofit, under MOU

Microloan

zero interest, always

Income

socially beneficial business

Repayment

within 12 months, back to the fund

The digital ID records every step
  1. 1

    Community fund

    vetted local nonprofit, under MOU

  2. 2

    Microloan

    zero interest, always

  3. 3

    Income

    socially beneficial business

  4. 4

    Repayment

    within 12 months, back to the fund

  5. …and the fund lends again. The digital ID records every step.

The fund's terms

  • Loans carry no interest, ever.
  • The nonprofit enforces repayment and files quarterly records of borrowers' activity and profits.
  • Capital returns to the fund and is lent out again.

04 · Graduation

From unbanked to bankable.

A holder with a verified identity, a repayment history, and income on record is exactly the customer conventional banks say they cannot find. The Fidutam Financial Institution Partner Program hands that population to partner banks and credit unions, with graduates able to meet minimum deposit requirements from day one.

01

Unbanked

No account, no credit history, no formal identification.

02

Established

Verifiable ID, repaid loans, and proof of income on record.

03

Banked

An account with a partner bank or credit union, via FFIP.

Graduates enter the Fidutam Financial Institution Partner Program able to meet minimum deposit requirements — a verified, credit-worthy population banks otherwise never reach.

Who qualifies

Capacity is limited, so access is criteria-based.

  • 01Low-income, unbanked, or facing other forms of financial hardship
  • 02No existing streamlined access to digital payment services
  • 03Starting a socially beneficial business: public health, climate, agriculture, conservation, or locally produced goods
  • 04Demonstrated interest and capacity for earning active or passive income
  • 05A concrete use for the ID: opening job opportunities or funding a micro-, small-, or medium-sized enterprise

Outcomes

Uganda

A traditional birth attendant used her digital ID to take on more advanced attendance work, adding up to USD 17 in income per month.

New York, USA

A mother turned a $50 microloan into a $5,000 profit by restitching discarded combat boots and selling them to fellow factory workers.

Go deeper

Watch the MIT Solve pitch or read the full product guide.