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Credit Scoring

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Credit Scoring

DeFi Credit Scoring

DeFi lending protocols need to assess borrower risk without identity documents, credit bureaus, or traditional financial history. ChainAware's Credit Score is built for this - calculated entirely from on-chain behaviour across 20M+ wallet profiles.

The Credit Score is based on:

  • AI-based behavioural analytics of wallet inflows, outflows, protocol interactions, and transaction history
  • AI-based Fraud Score - identifies wallets with patterns associated with financial crime
  • Experience and risk profile - depth of DeFi engagement, protocol diversity, wallet age

A better Credit Score enables:

  • Lower collateral ratios for reliable borrowers - making DeFi lending more capital efficient
  • Better interest rate tiers - rewarding trustworthy on-chain history with improved terms
  • Reduced default risk - protocols lend with confidence to wallets with proven track records

Separating Reliable Borrowers from High-Risk Ones

ChainAware's Credit Score enables DeFi lending protocols to offer differentiated terms based on objective on-chain reputation - not arbitrary collateral requirements applied equally to all users.

Available via Enterprise Subscription at https://chainaware.ai:

  • Primary usage: via the API (Enterprise Subscription provides the API key)
  • Secondary usage: via the user interface with a connected Enterprise Account

Further Reading