For Borrowers: Powered by the TruScore Protocol
Borrowers interact with the platform via the TruScore Protocol, a proprietary AI-driven credit assessment system.
Wallet Integration: Borrowers begin by connecting their cryptocurrency wallets to the platform. This initiates the analysis of on-chain data, such as transaction history, wallet activity, and participation in DeFi protocols.
Optional Off-Chain Data Sharing: Borrowers may opt to share off-chain data—such as utility bill payments, rental history, or social media behavior—via secure oracle integrations (e.g., Chainlink). This enhances the accuracy of the credit scoring process.
Real-Time Credit Scoring: The TruScore Protocol dynamically calculates a borrower’s creditworthiness using the formula:
Credit Score = α * OnChainActivity + β * OffChainData + γ * HistoricalReputation
Where:
OnChainActivity reflects factors like wallet age, transaction frequency, and past collateralization ratios.
OffChainData includes alternative credit data from oracles.
HistoricalReputation accounts for repayment history and adherence to DeFi commitments.
α, β, γ are weight parameters adjusted by AI models to reflect their respective contributions.
The credit score evolves in real-time, ensuring that borrowers with improving financial behaviors see their score and loan terms updated promptly.
Tailored Loan Offers: Based on the credit score, borrowers are presented with loan offers customized for their risk profile. Terms include personalized interest rates, loan durations, and collateral requirements.
Reserve Protection Fund Access: In case of financial emergencies, eligible borrowers can apply for assistance from the Reserve Protection Fund. The fund covers up to a predefined percentage of the borrower’s repayment obligation, reducing the risk of default while ensuring platform stability.
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