Zoracles Protocol has embarked on an ambitious path to solve trust algorithmically. We have created a unique set of signals that will be combined into a mathematical formula that assesses on-chain creditworthiness allowing borrowers to access confidential credit without having to use ANY collateral.
Our algorithm was designed for simplicity but will need maximum efficacy to allow a market for credit without the need of staking your cryptocurrency as collateral. We have considered many ways to increase user accountability and the strength of our algorithm will support additional measures to ensure credit lines are distributed in a fair manner that is unbaised and governed by code.
Solving for trust is important for extending DeFi functionality and the promise of distributed ledger technology. We believe each account can serve as a decentralized ID by building credit ratings and using it across the greater DeFi ecosystem.