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Christopher Brookins
Christopher Brookins

Posted on

RociFi: On-chain credit scores for capital efficient lending on XDC

Author: RociFi

Submission date: June 21, 2023


Temperature check for deploying to XDC based upon user demand for on-chain credit scores that enable higher loan-to-value ratio loan terms (with the possibility for under-collateralized credit lines in the future).

About RociFi

RociFi is a DeFi protocol enabling highly capital efficient lending markets via on-chain credit scores powered by machine learning.

To-date, RociFi has served 811,952 credit scores via our API, issued 38,200 soulbound credit credential NFTs, and facilitated 5445 capital efficient loans (1600 under-collateralized) with an average 6% APY real yield offered to depositors with 98,8% repayment rate.

RociFi lending protocol is live on Polygon and zkSync with plans to deploy to others by year-end 2023. We're particularly interested in chains that have unique value propositions, e.g. Trade Finance, that can benefit from our core competencies of on-chain credit scores and capital efficient credit lines.

For reference: Scores are calculated using on-chain transactional and DeFi protocols usage data across most popular EVM-compatible chains.

Deep Dive into RociFi Scoring Semantics, with examples of how various addresses are scored:


DeFi is lacking real-world credit applications because of insufficient capital efficiency, i.e. over-collateralization. RociFi is building the foundation to solve this issue by creating on-chain credit scores derived entirely from a user or institutions blockchain transaction history. This can further be combined with inherent efficiencies of blockchain technology, i.e. tokenization of real-world assets for trade finance, can be the first step in helping DeFi to tap into mainstream credit markets.

However, given we're newcomers to the XDC ecosystem, the last thing we want to do is build something there is no demand for. So, please voice your preference for either (1) on-chain credit scores (2) capital efficient lending markets coming to XDC.

Key terms

Credit scores: numerical scores representing a user's (wallet address) creditworthiness and trustworthiness based upon their on-chain transaction history. The scale is 1 to 10 with 1 being the lowest risk (best score) and 10 being the highest risk (worst score). The scores are calculated looking at numerous DeFi protocols across 9 blockchains.


We are open to feedback or questions regarding the temp check, so please comment! Thanks!

Discussion (7)

mohit profile image
Mohit Dhiman • Edited on

This really seems like a great idea.

This is one of the most important aspect which defi lacks. Though one can always borrow with enough collateral, capital efficiency is really a pain point and under collateralized loan becomes really challenging without a credit score that determines the credit worthiness of an individual or an entity even they have a great repayment history.

and since the network is highly focused on trade finance and payments, this becomes very crucial like the same plays a major role in the traditional finance

So, Yes, I would very much like to see this getting deployed on XDC Network

ryan_mcbride_1759097aafd3 profile image
Ryan Mcbride

My friend works on this project right now they are looking for traction , it might be of use to consider.

ccb_rocifi profile image
Christopher Brookins Author

To consider for us or XDC? We welcome all ideas even if it does include potential competitors.

Can you elaborate?

ryan_mcbride_1759097aafd3 profile image
Ryan Mcbride

Jakub is the man to speak to regarding the suitability of the project or any potentual partnership.


cryptosandtokens profile image
Robert Aronovici

Thanks for the overview and breakdown!

We'll have the community review and add their feedback and opinions.

james_love_23979d134fec2b profile image
James Love

More power to you ...

not sure what "based upon their on-chain transaction history" means as it relates to creditworthiness or trustworthiness.

ccb_rocifi profile image
Christopher Brookins Author

If you have an EVM-compatible address that has done any transactions since existence, that will be used to calculate score. Simple examples include borrowing from DeFi, liquidity deposits, swaps, etc.