Covers: theory of On-chain credit scoring
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Machine Learning In On-chain Credit Scoring

Total time needed: ~41 minutes
This recipe introduces Machine Learning in Blockchain credit scoring. It briefly describes the current state of Decentralized Finance on blockchain and borrowing/lending protocols in particular; discusses the need for a decentralized credit scoring protocol and a place ML plays out in building the latter.
Potential Use Cases
Using ML models to build decentralized, self-governed and inclusive reputation scoring system
Who is This For ?
INTERMEDIATEData Scientists, ML engineers, ML-Ops engineers, credit scoring analysts new to blockchain. Blockchain developers new to ML
Click on each of the following annotated items to see details.
ARTICLE 1. Introduction to Decentralized Finance on blockchain
  • What is Decentralized Finance ("DeFi") and why it is a next stage of blockchain evolution?
  • How DeFi is different from TradFi and what are the applications of the former?
8 minutes
VIDEO 2. Lending and borrowing in DeFI
  • How do DeFi lending/borrowing protocols work?
  • What are the applications of DeFi lending/borrowing protocols?
  • What is loan overcollateralization and why it's taken place in DeFi?
15 minutes
ARTICLE 3. Credit Risk Oracle for Pseudonymous Undercollateralized Lending in DeFi
  • How introduction of an on-chain credit scoring can improve capital efficiency of the current state of DeFi ecosystem?
  • What are the high level mechanics of the proposed credit scoring mechanism?
10 minutes
ARTICLE 4. ML usecase. example
  • What are the possible implementations of an on-chain credit scoring protocol?
  • How ML can be applied to tackle the on-chain credit scoring protocol?
8 minutes
REPO 5. On-chain credit scoring research repo
10 minutes

Concepts Covered

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