Divine Uses World ID to Power Global Crypto Microloans

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Divine Research Uses World ID to Power Global Crypto Microloans

Written by Aaron S.,

Editor-In-Chief

Last Updated: July 28, 2025

Key Takeaways

Divine Research has issued around 30,000 crypto loans under $1,000 using Sam Altman’s World ID system;
Borrowers are primarily unbanked individuals abroad, with default rates reaching 40% on their first loans;
Lenders are regular people, and the system is designed to stay profitable despite high risks.

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Divine Research Uses World ID to Power Global Crypto Microloans

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Divine Research, a lending company based in San Francisco, has issued about 30,000 unsecured crypto loans since December 2024, according to a July 27 report by Financial Times.

These small loans, typically under $1,000 in USDC USDC $0.9792 , are primarily offered to individuals outside the US who lack access to traditional banking services.

Instead of requiring collateral, Divine Research uses Sam Altman’s World ID system, a tool that scans a person’s iris, to confirm each borrower’s identity and stop repeat borrowing after a default.

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The company aims to make short-term loans available to anyone with internet access. Founder Diego Estevez stated that their borrowers range from teachers to street vendors.

Divine Research’s approach is designed to reach people often left out by traditional banks. Estevez described it as "microfinance on steroids".

Interest rates for these loans range from 20% to 30%. According to Estevez, about 40% of borrowers fail to repay their first loan, but the higher rates are meant to cover those losses. He also mentioned that users receive free World tokens when they take a loan, and those tokens can be partially recovered if the borrower fails to pay.

Divine Research’s lenders are everyday people looking to earn on their savings. Estevez said anyone can fund loans on the platform. The system is designed to ensure that even with a high number of defaults, lenders can still expect to earn a return.

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