TransUnion, one of the three major US credit reporting agencies, announced on April 20 that it will begin providing credit scores to public blockchain networks. Off-chain credit data was previously unavailable to Web3 and decentralized finance (DeFi) applications.
In the new TransUnion service, credit information will be provided to decentralized applications, or DApps, at the request of consumers. The full credit information will be passed on to the consumer and the excerpt will go into the DApp. TransUnion has partnered with Spring Labs and Quadrata to provide credit data through a digital passport network, protecting consumers' identities on the blockchain. The project apparently took some time to get off the ground, as it was first announced over a year ago.
Jason Laky, TransUnion's executive vice president of financial services, said the new product will help minimize risk for lenders while “giving borrowers more opportunities to get better terms.” Credit Scores for Adults” and has operating partners in more than 30 countries. has long been a sore spot for DeFi. TransUnion rival Experian announced in early 2023 a partnership with Bulgarian DeFi lending platform Credefi. The deal gives Credefi "the right to use Experian's officially recognized and reputable brand materials." Green the Experianate will participate Company Score through the deal. In October, Equifax, another major TransUnion competitor, said it was partnering with the Oasis blockchain to provide a “know your customer” service.
Masa Finance recently launched a soulbound token-based identity protocol that also includes on-chain credit information. Pngme, like Masa Finance, founded by Brendan Playford, helps create scores for Africa's "credit invisible" population based on mobile money data.
