Decentralized credit rating on the Blockchain
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...
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).
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
Decentralized judgement is easily manipulated and hard to correct. I think it would be too much lawsuit for anyone to use this.
It could work.
Are you working on this? Bloom launched last year was it you guys?
How do you see this working?
Added more context to the post