Estimating flexible credit eligibility and disbursement schedule using non-fungible tokens (NFTs) of agricultural assets

A system comprising:

• a plurality of components comprising a digital asset server, a farm asset, a NFT wallet and exchange server, a farm asset valuation server, a financial transaction server and a NFT mortgage lending entity node, each of the plurality of components comprising:
• a memory storing instructions;
• one or more Input/Output (I/O) interfaces;
• and
• one or more hardware processors coupled to the memory via the one or more I/O interfaces,
• wherein:
• the one or more hardware processors of the digital asset server are configured by the instructions to validate and create a plurality of digital farm assets for a plurality of physical farm assets registered by a farmer or a farmer representative, wherein the plurality of physical farm assets comprises at least one cropland;
• the one or more hardware processors of the digital asset server are configured by the instructions to decide whether all or subset of the registered plurality of physical farm assets eligible for Non-Fungible Token (NFT) by the digital asset and requests the farmer to confirm the plurality of physical farm assets to do the NFT, and storing information of the farmers registered with the plurality of physical farm assets to generate the NFT;
• the one or more hardware processors of the digital asset server are configured by the instructions to perform a validation check prior to registering the plurality of physical farm assets provided by the farmer, to ensure if a physical farm asset can be NFTed, and then proceeds with the registration, wherein the validation check includes checking a list of farm assets recognized by lending institutions and regional government as farm assets which are considered as collateral for an estimation of a credit eligibility;
• the one or more hardware processors of the digital asset server are configured by the instructions to compare each farm asset with a master list available with the NFT wallet and exchange server as published by the lending institutions and regional government which are members of a blockchain network and based on an associated asset list criteria and detailed guidelines, the farm asset is registered as NFT or rejected and the process is iteratively repeated for all the farm assets provided by the farmer or the farmer representative;
• the one or more hardware processors of the digital asset server are configured by the instructions to source and record a farm asset metadata associated with each of the plurality of physical farm assets;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instructions to create a plurality of Non-Fungible Tokens (NFTs) associated with the plurality of digital farm assets using the farm asset metadata, wherein the plurality of NFTs represent collaterals available with the farmer, wherein the farm asset metadata for the physical farm assets with definite expiry date includes a system calculated asset inactive date, wherein when the physical farm asset ceased to exist post the asset inactive date, the digital asset server marks the physical farm asset as expired and associated NFTs are debited from a farmer wallet within a NFT wallet;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instructions to communicate, when any loan on the associated NFTs, to a lending entity with a notification of events and the lending entity generates an equivalent amount of NFTs transfer from the farmer wallet to a loan wallet and a financial transaction exchange is notified;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instruction to generate a smart contract in the blockchain network defining a plurality of rules and conditions of ownership and one or more transactions associated with the plurality of NFTs for verifying and tracking the ownership and the one or more transactions and the NFT wallet for the farmer;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instruction to record the plurality of digital farm assets into the blockchain network by creating the plurality of NFTs by the NFT wallet and exchange server;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instruction to generate a metadata for the plurality of NFTs including an information of each of the NFT comprising a name of the NFT, a type and description, date, timestamp of creation and creator of the NFT, the creator's unique token ID or key or biometric data, a location data, for verification and authentication to the NFT for additional layer of security and the generated metadata information is later utilized for validation of the plurality of NFTs during financial transactions;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instruction to derive an additional metadata associated with each of the plurality of physical farm assets via a crop monitoring and analytics engine including a crop health, a crop produce quality, potential carbon sequestrated due to farming practices followed;
• the one or more hardware processors of the farm asset valuation server are configured by the instruction to receive a request for valuation of a set of NFTs selected by the farmer or the farmer representative from among the plurality NFTs for estimating Credit Eligibility (CE) of the farmer for a credit request initiated by the farmer or the farmer representative;
• the one or more hardware processors of the farm asset valuation server are configured by the instruction to perform the valuation of the set of NFTs by fetching a reference valuation checklist and an associated price in a local currency from one or more external servers, wherein the farm asset valuation server is a node on the blockchain network and uses a country or region specific comparatively dynamic rate card database for various assets to bring parity among all stakeholders and among the farm assets of similar types based on associated characteristics of the farm asset;
• the one or more hardware processors of the NFT wallet and exchange server are configured by the instruction to validate ownership of the set of NFTs that are registered in the farmer wallet available in the NFT wallet and an exchange server, wherein when an ownership transfer request is received, then the NFT wallet and exchange server delinks an equal amount of full or fractional NFTs from a current owner wallet and links them with the new owner wallet, wherein when the ownership transfer request is for the fractional NFT, then the NFTs are fractionalized or divides main NFT tokens in the owner wallet in the required ratio mentioned in a transfer request message to generate sub-NFT tokens and are then delinked or linked from and to, current owner to new owner;
• the one or more hardware processors of the farm asset valuation server are configured by the instructions to estimate the CE of the farmer in accordance with the set of NFTs in the farmer wallet in terms of i) Credit Equivalent Value (CEV (cropland)) associated with at least one cropland based physical farm asset within the set of NFTs, and ii) one or more physical farm asset other than the cropland (CEV (non-cropland)), wherein estimating the CEV (cropland) considers static and dynamic components associated with the cropland, wherein a static value is decided based on historical information associated with the cropland in terms of crops cultivated, temporal soil health, yield obtained in each of past seasons, revenue generated and sustainability parameters and the static value is updated every season as each season add crops and associated attributes to update the static value every season, and wherein a dynamic value associated with the cropland changes over time due to factors including proximity to market, location of land;
• and
• the one or more hardware processors of the financial transaction server are configured by the instruction to issue a sanction of a loan amount from a lending entity for the credit request in accordance with the estimated CE to initiate a credit disbursal via a dynamic disbursement schedule comprising an initial disbursement schedule based on a current status of the set of the digital farm assets that is dynamically altered based on real time data, wherein full or fraction of the NFTs among the set of NFTs to be transferred from the farmer wallet to a loan wallet are proportionate to the amount of the credit disbursal and associated processing charges, service charges or taxes, wherein the dynamic disbursement schedule is based on personalized or customized parameters associated with the current status of a farm and the set of the digital farm assets linked to a credit collateral, wherein the dynamic disbursement schedule comprising:
• generating the initial disbursement schedule based on the current status of the set of the digital farm assets derived from real-time data associated with at least one crop planned by the farmer for the at least one cropland, soil quality of the at least one cropland, forecasted weather in geography of the at least one cropland and personalized package of practices generated for the farmer, wherein the real time data is sourced from at least one of on-field sensors, satellite data and external data sources;
• and
• dynamically altering the initial disbursement schedule in accordance with the real time data based on one of:
• real-time prediction or detection of events or change in state of the crop occurred post generating the initial disbursement schedule, wherein the events or change in state of the crop is determined based on the real time data;
• and
• a real time request supported by an event information from the farmer or the farmer representative for an additional credit disbursal, wherein the event information is validated based on the real time data or supported by authorized field survey,
• wherein for the mortgaged NFTs, a separate mortgage or collateral digital loan wallet or read-only wallet is created and an equivalent amount of the NFTs is moved to the mortgage or collateral digital loan wallet or the read-only wallet from the farmer wallet, wherein while the NFTs are in the mortgage or collateral digital loan wallet or the read-only wallet, ownership of the NFTs remains with the farmer and the NFTs are excluded from digital transactions until a lien on the NFTs is released,
• wherein when the physical farm assets are moved to a new owner due to inheritance or succession or auction, then an NFT Mortgage Node lending entity provides electronic consent to a farm asset valuation server with required information of the earlier loan transaction and the loan wallet is updated with the details of the new owner;
• the one or more hardware processors of the financial transaction server are configured by the instruction to generate an amortization chart highlighting an Equal Monthly Installment (EMI), loan principle, interest rate, number of NFTs or fraction of the NFTs which remain mortgaged in a bank locker, based on the dynamic disbursement schedule;
• digitally sign a contract and the bank sends a request to a financial transaction server and the NFT wallet and exchange server, and the farmer NFTs are fractionalized and lien fractional quantity is added in the loan wallet for the duration of the loan and with repayment of the loan amount, the NFTs are fractioned further and are returned from the loan wallet to the farmer wallet;
• monitor in real-time, via the on field sensors, satellite data and external information corresponding to weather, the cropland to check and predict calamities, losses due to pest or diseases and upon predicting the calamities, losses due to pest or diseases, providing access to an equivalent credit to the farmer and the dynamic disbursement schedule is updated as a season progresses;
• and
• validate a request by the farmer for additional credit at any point during a growing season using sourced current status of the cropland and access to the equivalent credit is provided to the farmer based on the request and associated reason.

One or more non-transitory machine-readable information storage mediums comprising one or more instructions which when executed by one or more hardware processors cause:

• validating and creating, a plurality of digital farm assets for a plurality of physical farm assets registered by a farmer or a farmer representative, wherein the plurality of physical farm assets comprises at least one cropland;
• deciding, by a digital asset server, whether, whether all or subset of the registered plurality of physical farm assets eligible for Non-Fungible Token (NFT) and requests the farmer to confirm the plurality of physical farm assets to do the NFT, and storing information of the farmers registered with the plurality of physical farm assets to generate the NFT;
• performing a validation check, by the digital asset server, prior to registering the plurality of physical farm assets provided by the farmer, to ensure if a physical farm asset can be NFTed, and then proceeds with the registration, wherein the validation check includes checking a list of farm assets recognized by lending institutions and regional government as farm assets which are considered as collateral for an estimation of a credit eligibility;
• comparing each farm asset with a master list available with a NFT wallet and exchange server as published by the lending institutions and regional government which are members of a blockchain network and based on an associated asset list criteria and detailed guidelines, the farm asset is registered as NFT or rejected and the process is iteratively repeated for all the farm assets provided by the farmer or the farmer representative;
• sourcing and recording, a farm asset metadata associated with each of the plurality of physical farm assets;
• wherein
• creating the farm asset metadata is used during creation of a plurality of Non-Fungible Tokens (NFTs) associated with the plurality of digital farm assets using the farm asset metadata, wherein the plurality of NFTs represent collaterals available with the farmer, wherein the farm asset metadata for the physical farm assets with definite expiry date includes a system calculated asset inactive date, wherein when the physical farm asset ceased to exist post the asset inactive date, the digital asset server marks the physical farm asset as expired and associated NFTs are debited from a farmer wallet within a NFT wallet;
• communicating, when any loan on the associated NFTs, to a lending entity is communicated with a notification of events and the lending entity generates an equivalent amount of NFTs transfer from the farmer wallet to a loan wallet and a financial transaction exchange is notified;
• recording the plurality of digital farm assets into the blockchain network by creating the plurality of NFTs by the NFT wallet and exchange server;
• generating, by the NFT wallet and exchange server, a metadata for the plurality of NFTs the NFT wallet and exchange server further generates a metadata for the plurality of NFTs including an information of each of the NFT comprising a name of the NFT, a type and description, date, timestamp of creation and creator of the NFT, the creator's unique token ID or key or biometric data, a location data, for verification and authentication to the NFT for additional layer of security and the generated metadata information is later utilized for validation of the plurality of NFTs during financial transactions;
• deriving an additional metadata associated with each of the plurality of physical farm assets via a crop monitoring and analytics engine including a crop health, a crop produce quality, potential carbon sequestrated due to farming practices followed;
• generating, a smart contract in the blockchain network defining a plurality of rules and conditions of ownership and one or more transactions associated with the plurality of NFTs for verifying and tracking the ownership, and the one or more transactions and the NFT wallet for the farmer;
• receiving, a request for valuation of a set of NFTs selected by the farmer or the farmer representative from among the plurality NFTs for estimating Credit Eligibility (CE) of the farmer for a credit request initiated by the farmer or the farmer representative;
• performing the valuation of the set of NFTs, by a farm asset valuation server, by fetching a reference valuation checklist and an associated price in a local currency from one or more external servers, wherein the farm asset valuation server is a node on the blockchain network and uses a country or region specific comparatively dynamic rate card database for various assets to bring parity among all stakeholders and among the farm assets of similar types based on associated characteristics of the farm asset;
• validating, ownership of the set of NFTs that are registered in the farmer wallet available in the NFT wallet and exchange server, wherein when an ownership transfer request is received, then the NFT wallet and exchange server delinks an equal amount of full or fractional NFTs from a current owner wallet and links them with the new owner wallet, wherein when the ownership transfer request is for the fractional NFT, then the NFTs are fractionalized or divides main NFT tokens in the owner wallet in the required ratio mentioned in a transfer request message to generate sub-NFT tokens and are then delinked or linked from and to, current owner to new owner;
• estimating, the CE of the farmer in accordance with the set of NFTs in the farmer wallet in terms of i) Credit Equivalent Value (CEV (cropland)) associated with at least one cropland based physical farm asset within the set of NFTs, and ii) one or more physical farm asset other than the cropland (CEV (non-cropland)), wherein estimating the CEV (cropland) considers static and dynamic components associated with the cropland, wherein a static value is decided based on historical information associated with the cropland in terms of crops cultivated, temporal soil health, yield obtained in each of past seasons, revenue generated and sustainability parameters and the static value is updated every season as each season add crops and associated attributes to update the static value every season, and wherein a dynamic value associated with the cropland changes over time due to factors including proximity to market, location of land;
• and
• issuing, a sanction of a loan amount from a lending entity for the credit request in accordance with the estimated CE to initiate a credit disbursal via a dynamic disbursement schedule comprising an initial disbursement schedule based on a current status of the set of the digital farm assets that is dynamically altered based on real time data, wherein full or fraction of the NFTs among the set of NFTs to be transferred from the farmer wallet to a loan wallet are proportionate to the amount of the credit disbursal and associated processing charges, service charges or taxes, wherein the dynamic disbursement schedule is based on personalized or customized parameters associated with the current status of a farm and the set of the digital farm assets linked to a credit collateral, wherein the dynamic disbursement schedule comprising:
• generating the initial disbursement schedule based on the current status of the set of the digital farm assets derived from real-time data associated with at least one crop planned by the farmer for the at least one cropland, soil quality of the at least one cropland, forecasted weather in geography of the at least one cropland and personalized package of practices generated for the farmer, wherein the real time data is sourced from at least one of on-field sensors, satellite data and external data sources;
• and
• dynamically altering the initial disbursement schedule in accordance with the real time data based on one of:
• real-time prediction or detection of events or change in state of the crop occurred post generating the initial disbursement schedule, wherein the events or change in state of the crop is determined based on the real time data;
• and
• a real time request supported by an event information from the farmer or the farmer representative for an additional credit disbursal, wherein the event information is validated based on the real time data or supported by authorized field survey,
• wherein for the mortgaged NFTs, a separate mortgage or collateral digital loan wallet or read-only wallet is created and an equivalent amount of the NFTs is moved to the mortgage or collateral digital loan wallet or the read-only wallet from the farmer wallet, wherein while the NFTs are in the mortgage or collateral digital loan wallet or the read-only wallet, ownership of the NFTs remains with the farmer and the NFTs are excluded from digital transactions until a lien on the NFTs is released,
• wherein when the physical farm assets are moved to a new owner due to inheritance or succession or auction, then an NFT Mortgage Node lending entity provides electronic consent to a farm asset valuation server with required information of the earlier loan transaction and the loan wallet is updated with the details of the new owner;
• generating an amortization chart highlighting an Equal Monthly Installment (EMI), loan principle, interest rate, number of NFTs or fraction of the NFTs which remain mortgaged in a bank locker, based on the dynamic disbursement schedule;
• digitally signing a contract and the bank sending a request to a financial transaction server and the NFT wallet and exchange server, and the farmer NFTs are fractionalized and lien fractional quantity is added in the loan wallet for the duration of the loan and with repayment of the loan amount, the NFTs are fractioned further and are returned from the loan wallet to the farmer wallet;
• monitoring in real-time, via the on field sensors, satellite data and external information corresponding to weather, the cropland to check and predict calamities, losses due to pest or diseases and upon predicting the calamities, losses due to pest or diseases, providing access to an equivalent credit to the farmer and the dynamic disbursement schedule is updated as a season progresses;
• and
• validating a request by the farmer for additional credit at any point during a growing season using sourced current status of the cropland and access to the equivalent credit is provided to the farmer based on the request and associated reason.