The poor are excluded from housing because they do not qualify for mortgages since credit approvals are based on historical data. Empowa, using the blockchain, has solved this gnarly problem and plans to build one million homes by 2030, explains CEO Glen Jordan. From Moneyweb.
The housing shortage in Africa
Africa faces a major housing crisis, with millions of people living in inadequate or informal housing due to a lack of affordable options. Many low-income families struggle to secure financing, as traditional banks require high deposits, charge high interest rates, or reject applicants without formal employment or credit histories.
According to Glen Jordan, co-founder of Empowa, “current financial systems simply aren’t designed to meet the needs of Africa’s emerging economies.” This has left a huge gap in the market, where demand for housing is high, but supply remains severely limited by outdated financial structures.
Using blockchain for housing finance
Empowa is looking at alternative ways to finance housing by using blockchain technology. The idea is to create a system that allows people to access funding without relying on traditional banks.
By using smart contracts and tokenised assets, Empowa aims to cut costs and simplify the process of home financing. Smart contracts are self-executing agreements that automatically enforce the terms of a deal, reducing the need for intermediaries such as banks or loan officers. This can make borrowing cheaper and more accessible for those who have historically been excluded from financial services.
“Blockchain removes intermediaries, cuts inefficiencies, and connects people who would otherwise be left out of traditional banking,” Jordan explains. By using decentralised lending and blockchain-based crowdfunding, Empowa enables investors to support housing projects directly. This ensures that money is used more effectively, with lower overhead costs and greater transparency.
Why Cardano?
Empowa is built on Cardano’s blockchain, which was chosen for its scalability, affordability, and environmental sustainability. Unlike traditional proof-of-work blockchains, Cardano operates on a proof-of-stake model, which consumes significantly less energy while still maintaining security and decentralisation.
Jordan believes that Cardano’s low transaction costs and smart contract capabilities make it particularly well suited for projects aimed at financial inclusion. By leveraging blockchain technology, Empowa hopes to create a fairer and more efficient system for financing housing developments in Africa.
Early projects and real-world impact
Empowa has already started putting its ideas into practice in Mozambique, where it has begun financing the construction of affordable homes. The project uses NFT-backed property ownership, meaning that digital tokens are linked to real-world assets, making it easier for buyers to secure financing and prove ownership.
Through microfinance initiatives, families can access homes with fair and manageable payment plans, avoiding the financial barriers that often come with traditional mortgages. This approach allows people who would otherwise struggle to get a loan to buy a home and build long-term financial security.
“We’re not just building houses; we’re giving people more stability in their lives,” Jordan says. “Owning a home can be life-changing. It provides security, enables wealth creation, and improves overall quality of life.”
What’s next?
Empowa’s long-term goal is to expand across Africa, creating a decentralised housing finance ecosystem that allows thousands more people to access affordable housing.
Jordan sees a broader potential for blockchain and decentralised finance (DeFi) in addressing economic challenges in emerging markets. By providing alternative financial solutions, blockchain technology could help people access not just housing, but also business loans, insurance, and other financial services.
“This is just the beginning,” Jordan says. “The possibilities of blockchain in emerging markets are huge. We’re only scratching the surface of what’s possible.”
Empowa’s work demonstrates that blockchain is not just about cryptocurrencies or speculation—it has the potential to solve real-world problems. By rethinking how housing finance works, the project is helping to create a more inclusive and sustainable future for African communities.
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