Cred Protocol Released Automated Scoring Results: Report

Cred Protocol released automated scoring results and disclosed the first credit scores for the decentralized finance users based on the Aave protocol so let’s read more today in our latest cryptocurrency news.

Cred Protocol released automated scoring results and the company based in San Francisco runs with a team of 9 personnel. It operates with a goal to make decentralized technology more accessible to over a billion people but it also has branches in New York and London. The CEO of Cred Protocol Julian Gay listed modalities of the protocol’s operation and stated that the company used past transactions on the Aave protocol to assess the customers so also it focused on on-chain trends in the decentralized finance sector to measure the borrowers’ credit worthiness.

1/ Over the last few months, we've been working to build one of the first credit scores for DeFi.

Today, we're excited to share the results of our first credit score with the world! 🌍

Read more below 👇

— Julian Gay (@juliangay) July 14, 2022

Cred Protocol strived to bring DEfi closer to more people around the world via its operations and focuses on presenting trustworthy credit scores so with this approach, more people can access loans via their internet connection. The protocol carries out an assessment of the attributes in the time-based accounts with the usage of machine learning and can quickly analyze the past transaction behavior of the users. The process enables Cred Protocol to generate scores on health factors that can ascertain the liquidation stance of the addresses so the CEO of the protocol maintains that the assessment process is outstanding in predicting the worthiness of the users’ addresses.

DeFi researcher Chris Blec noted there is a possibility of a borrower using several ETH addresses that can boost his credit scores. However, according to Gay, the beta version will bring a new solution to more addresses and will ease the running of financial services via a peer-to-peer system that eliminates the notion of involving central authorities or intermediaries but lenders and borrowers will get a loan assessment from central authoriteis such as a credit bureau.

Cred is also expanding the plans beyond Aave and it wants to reach other DEfi lending protocols like Compound and MakerDAO. Cred Protocol will not be the first to spread credit assessment services as well. The funds of RochiFi Labs and GoldenTree will also expand on Defi credit ratings. Also, Credit Defi Alliance launched a new credit rating service that runs on blockchains to assess the creditworthiness of a user.