A LinkedIn post from Drip Capital highlights comments by CEO Pushkar Mukewar at Davos on what the company describes as the “SME Squeeze” in global trade finance. The post suggests that while global trade flows appear resilient, the financial infrastructure serving small and midsize exporters remains constrained by legacy banking cycles.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
According to the post, Drip Capital is focusing on what it calls “AI-powered, invisible collateral,” using native machine-learning underwriting to convert operational data into bankable assets. This approach is presented as a way to unlock additional working capital for SMEs, which could expand Drip Capital’s addressable market in trade finance and potentially support higher transaction volumes and fee-based revenue.
The post frames this data-driven underwriting as a move “beyond the hype” toward practical AI applications that could make supply chains more inclusive, predictive, and resilient. For investors, this emphasis on proprietary AI underwriting and alternative collateral models may signal a strategic bet on differentiated risk assessment capabilities in a fragmented trade finance market that the company characterizes as a multi-trillion-dollar opportunity.
If Drip Capital can demonstrate robust risk controls and regulatory acceptance for using operational data as collateral, the model could lower friction for SME financing and improve customer acquisition efficiency. However, scaling such AI-based underwriting will likely depend on data quality, macro conditions in global trade, and competitive responses from banks and fintech peers pursuing similar technology-led trade finance solutions.