I. Project introduction
RCN (Ripio Credit Network) is an agreement based on blockchain smart contract technology. It has a very ambitious goal to connect any two in the world through the RCN protocol. Credit lenders (borrowers and lenders), whether you are Venezuelan, Argentinian or Chinese, whether you use RMB, EUR or other currencies. By connecting the various subjects of the loan chain through smart contracts, RCN reduces the intermediary fees and management fees of traditional banks, and finally provides a better experience for borrowers and lenders.
II. Features of the project
RCN tries to use the agreement of smart contracts to provide a standardized model for credit lending services through blockchain technology, to connect several key roles in the industry, and to provide capital contributions. People (lenders) provide better capital management tools, reduce transaction costs between borrowers and lenders, and ultimately connect borrowers, lenders, and related institutions, allowing people around the world to achieve credit lending through local currencies.
III. Project application scenarios
There are several key roles in the RCN network system: borrowers, lenders, borrower identity confirmation agencies, credit rating agencies, joint guarantee agencies, By co-signing a guarantee agency, the risk of the lender can be guaranteed to be dispersed.
1. The borrower initiates a credit loan application through the wallet provider.
2. Lenders give funds (local currency) through credit lending exchanges.
3. The e-wallet provider generates smart contracts (refining loan terms; getting funds from lenders or credit lending exchanges; distributing funds to borrowers and other related service agencies).
4. A credit rating agency provides a credit score for each borrower, and the rating agency analyzes various available information to evaluate users from a data level. Credit rating agencies will be able to obtain transaction information from the RCN blockchain (which will be open to everyone in the future) to build a ledger of information to trace each borrower default or non-default case.
5.Oracle sets the exchange price of RCN according to the local currency of the e-wallet provider, and determines the exchange rate between the local currency and RCN when repaying the loan, so as to ensure the borrower and lender's expectation of obtaining stable funds.
6. The identity confirmation agency is responsible for confirming the identity of the borrower, mainly for anti-fraud.
7. The joint guarantee provider acts as the borrower's guarantor and acts as an intermediary between the borrower and the local legal system. The information provided by the identity confirmation agency and the credit rating agency is used to establish the terms, in which the default terms and the debt guarantee of the guarantor to the lender will be refined on the same smart contract, and finally confirmed with the identity ID provider and credit rating. Together with the terms provided by the institution, an executable smart contract is generated, which is eventually broadcast by the e-wallet provider.
8. The credit lending exchange matches credit lending according to the needs and conditions of borrowers and lenders, and the matching is generated by the smart contract of the e-wallet provider.
