Decentralized credit rating on the Blockchain

Gen!x / Eng
XPbr65

Gen!x Eng

BIO
Mehy
XPbr65more
Sep 10, 2017 7 Comments

Finance domain experience only.

Will it work or fail?

Credit: @drewconway via @SEMc18

More context:

The rating agencies merely track your transactions and provide a source for agencies.

The score is an data model that is refined over time.

Strength:
This would be the ability to use multiple factors as part of the model (just like big banks currently do) and possibly include non-credit data in the model (like SoFi & Upstart) use.

Weakness
Time: you need a lot of historic data over time to feed your model before you can claim any sort of accuracy
Public blockchain: Expect someone sucking this up in a firehose and can soon relate an I'd to a physical person. Well, then I'm no better than shitty Equifax...

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TOP 7 Comments
  • This comment was deleted by original commenter.

    • Gen!x / Eng
      XPbr65

      Gen!x Eng

      BIO
      Mehy
      XPbr65more
      OP
      I actually read the first few pages of the white paper and skimmed the rest.

      I'm not a fan of their go big approach. Going global has inherent risks that need to first be tested by going local successfully.

      Not a fan of public blockchain for this either. The richness of the model that BoFA devised was that it could use purchase trends in its analysis and not just credit transactions alone. I don't want my seedier purchases broadcast on public blockchains.

      I like the backrest. This helps the currently unbanked get a more viable score model.

      So, yes, nice idea.

      I wonder if they'll build it or let it die. Like most ideas do
      Sep 11, 2017
  • Microsoft Carlyle
    How do you see this working?
    Sep 10, 2017 1
    • Gen!x / Eng
      XPbr65

      Gen!x Eng

      BIO
      Mehy
      XPbr65more
      OP
      Added more context to the post
      Sep 10, 2017
  • Microsoft / Eng DoraSpenlo
    Yea I heard they were going to use git and rebase for this. Personally I'm a fan of decentralization. Look out for smash and grabs (git stash -u).
    Sep 10, 2017 0
  • New / Eng
    yütüb

    New Eng

    PRE
    Google, Facebook
    yütübmore
    Are you working on this? Bloom launched last year was it you guys?
    May 3, 2018 0
  • Deloitte PVaQ48
    It could work.
    Sep 11, 2017 0
  • Amazon / Eng
    mUqi08

    Amazon Eng

    PRE
    Amazon
    mUqi08more
    Decentralized judgement is easily manipulated and hard to correct. I think it would be too much lawsuit for anyone to use this.
    Sep 10, 2017 0