- Private SHO
ReSource provides businesses and freelancers with credit at 0% interest, which they can spend with any other member of the ReSource Network.
DAO Approved Metrics
What is ReSource Finance (SOURCE)?
The ReSource Protocol provides a comprehensive toolbox for the creation of distributed mutual credit systems that grant participants access to 0% interest credit, further collaborative commerce, and give rise to a new class of stablecoins.
Instead of "renting" capital from a bank or lender, network-participants form a multi-sided lending system in which businesses extend credit to each other. However, they don't do so with fiat or even crypto assets. Instead, the ReSource protocol allows participants to monetize what businesses already have: unused inventory, free labour time, and all resources comprising their enterprise. Participants lend these unutilized resources to peers that need them, and in return - receive from the network what they need themselves to expand their own business.
This multilateral exchange network utilizes an endogenously created money supply as a medium of exchange, which comes into existence as a result of transactions among participants. This endogenously created money is a new form of stablecoin which achieves autonomous stability. This means that ReSource stablecoins are not artificially pegged to fiat or other assets, but derive their stable value from the goods and services traded with them.
What makes ReSource Finance (SOURCE) so unique?
While many projects pride themself in their efforts to "Decentralize Finance", the ReSource network does not only disarm intermediaries and custodians but decentralizes the logic of credit itself, effectively removing the creditor from the equation. Beyond that, ReSource introduces a series of features, unheard of in the crypto industry:
- Users are not required to stake assets to access credit, in contrast to Aave, Compound and the like.
- ReSource doesn't require external lenders to provide capital for loans to be issued. Instead, the capital used to extend credit is "spent into existence" when members access credit, and destroyed when loans are repaid.
- Credit risks are securely managed by a distributed network of "Underwriters" who assume risk in return for staking rewards
- Loans can be paid back in kind (with goods provided and services rendered)
- Credit decisions are based on a variety of unconventional data sets, including seller ratings on platforms like Yelp, Airbnb, Amazon, UpWork; financial data from accounting software and banks, and most uniquely, SaaS data from analytics products.Going forward, Mesh-Reputation will allow existing, rated members to vouch for new members; effectively "staking" their credit score to earn rewards\pay penalties respectively.
ReSource Finance (SOURCE) product roadmap
ReSource Finance (SOURCE) revenue streams
What are the technologies used by ReSource Finance (SOURCE)?
- CIP-36 is the first mutual-credit token protocol on the blockchain. CIP-36 allows users to spend into the negative according to their credit line, minting new tokens when doing so. Conversely, CIP-36 destroys tokens when negative accounts' balances are increased.
- A distributed, collusion-proof underwriting protocol, incentivising participants to manage credit risk rationally while securing the network's solvency.
- A method for wrapping credit-applicant's data as a set of ZK proofs, creating a platform-agnostic reputation system that can be selectively revealed by the user.
- A DID-based identity layer which allows users to carry reputation gained through interacting with the ReSource Network onto other applications.
- A Mutual Credit-based clearing protocol, allowing participants to settle and clear any arbitrary form of mutual obligations without relying on remittances of any kind (crypto, fiat or otherwise)
- A meta Mutual-Credit network, bridging different MC networks.
- A hybrid non-custodial key management system for retail customers to use cryptocurrency without either centralized custody nor having to be an expert in key management.
What is ReSource Finance (SOURCE) marketing strategy?
May 2021; Launched MVP B2B interest-free credit and payment network in Asheville, North Carolina. Extended $500K in interest-free B2B credit lines in ReSource Dollars.
- Stage 1: ReSource targets US-based SMBs, interested in enhancing their employee-benefit program (specifically in light of the current labor shortage). SMBs use their ReSource credit lines to pay their employees benefits in rUSD, which they can spend on healthcare, recreation and entertainment services. SMBs then repay the so-created debt by accepting rUSD as a means of payment for their goods and services.
- Stage 2: ReSource partners with existing payment networks in emerging markets (such as mobile payment services), leveraging these network's access to users' payment history to offer them ReSource credit lines
- Stage 3: ReSource targets SaaS and Cloud computing companies, allowing them to use each other's resources, while using the ReSource protocol as a clearing and settlement method - without relying on cash or fiat credit.