most frequent question i get every time i post about @cr3dentials: “how are you different from other verification layers for credit?” we are aware of the existence of other verification layers, and everybody is working to grow the pie together. but some of our biggest differentiators are: • we use zktls, which means lenders can only access specific information, not all sensitive data. • we don’t just provide data for users, but also credit facilities for them to lend out. • we handle data, recourse, repayment, and enforcement, making it a full-stack credit engine. we are also exploring different mechanisms like vaults to build a crypto-native credit engine, not just for tradfi. this and more are discussed in our latest articles:

this is going to be a floodgate of crypto neobanks offering unsecured lending to their users. this year alone, we’ve had many shutdowns and pivots, not because the card business isn’t booming or users aren’t coming in. but because the business is unsustainable. they need to constantly incentivize users, and those users leave immediately when they stop getting incentivized. With this, they finally went from the generic: earn → spend → save to: earn → spend → save → credit unlike the card business, where you’d need to constantly spend money on marketing and cashback to eventually earn interchange fees that are often less than 1%… the money spent on cashback by crypto neobanks is actually positive for users, but it’s a net negative for the projects. the more money they burn to acquire users, the less they have left to spend. the only thing you need with credit is to keep improving your underwriting and have customers pay you back. you’ll keep getting more money in than you spend out as a project. also, crypto neobanks nowadays have retention problems. offering credit can definitely help solve that problem. customers who borrow money from an app tend to open it more often, and it gets even stronger when they start using it for most of their transactions to build a credit profile for future loans. it turns one-time users into highly engaged customers. but one of the reasons why projects don’t want to offer credit is that they’d have to start building the underwriting infrastructure from the ground up, so they could use that time on other product iteration. that’s where @cr3dentials comes in. we handle everything for you in the background: the data, recourse, repayment, and even enforcement. our system is live, and almost 5k verifications have passed through it since launch. we’ve just had the first cohort of neobanks join our credit facility, where they can get up to $200k to lend to their customers. with plans to extend it as time goes on, some of the top neobanks that joined the program include pulsar money, uglycash, littio, among others. all you need to do is bring your users if you want to introduce credit to them. we handle all the heavy lifting you need to worry about. credit is the last moat for neobanks. everything else can easily be replicated, subsidized, etc., but the users you lend to are the ones who stay with you. happy to chat more if you’ve any questions. gn