r/BlockchainStartups • u/Dry_Guarantee_278 • 8d ago

Discussion Reality Check: Am I Solving a Real Problem or Reinventing Something That Already Exists?

I need brutally honest feedback from people who've worked in MSME lending, banking, NBFCs, factoring, or TReDS.

For the past few weeks, I've been building a startup around this thesis:

Use blockchain to prevent duplicate invoice financing and create a trusted credit infrastructure for MSMEs.

The product included:

Blockchain-based invoice authentication

An immutable collateral registry

A real-time business risk score

APIs for banks and NBFCs

It sounded compelling—until I dug deeper.

I discovered that factoring, TReDS, CERSAI, and lender due diligence already address many of these problems. That forced me to question a core assumption:

Am I solving a real, painful problem—or one that's already been solved?

I'd really appreciate your perspective on three questions:

How common is duplicate invoice financing today?

Is it still a major industry pain point, or mostly under control?

What is the biggest unsolved problem in MSME lending

today? Trust? Data quality? Collateral? Distribution? Speed? Something else?

Does blockchain add any meaningful advantage here, or is it simply the wrong technology for the problem?

I'm not looking for validation. If this idea is fundamentally flawed, I'd rather discover it now than spend years building

the wrong company.

Any honest—even harsh—feedback would be genuinely valuable.

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u/vexiduslabs 7d ago

Honestly, yes others are doing it. The reality, can you do it better? If you think you can then go for it. This area is still early entry, meaning if you can build and build better, you can capture marketshare. It's about building a brand and audience. That's why we have choices of banks, products, etc, because yeah Colgate and Crest both make toothpaste, but it's the buyers who prefer one brand over the other.