Undercollateralized Loan Origination Tool (Attested Credit)

WHAT IT DOES

Undercollateralized Loan Origination Tool (Attested Credit) enables borrowers to secure loans without posting full collateral by leveraging on-chain credit attestations. It connects to EIP-4973-compatible attestation registries and lending pool contracts to read credit scores, attestation counts, and reputation proofs associated with a wallet address. The tool then prepares and signs a transaction to originate a loan from a lending pool that accepts attested credit as a substitute for overcollateralization. Borrowers specify the loan amount, term, and interest rate, and the tool validates that the attestation data meets the pool's minimum requirements before submitting the origination transaction.

This tool is designed for DeFi lending protocols that are moving toward reputation-based lending, where users with proven on-chain history, social credentials, or verified identity can access capital more efficiently than traditional overcollateralized models. It reduces friction for creditworthy users and opens lending to a broader audience.

HOW TO USE

1. Connect your EVM wallet to the supported network.

2. Enter the address of the attestation registry contract that holds your credit proofs (EIP-4973 or compatible).

3. Enter the lending pool contract address that accepts attested credit for loan origination.

4. Specify the asset you wish to borrow (token address) and the amount.

5. Set the loan term in seconds (e.g., 2592000 for 30 days) and the interest rate as APR percentage.

6. Click "Check Attestations" to fetch your credit score and attestation count from the registry. The tool will display your attestation status and whether you qualify.

7. Review the loan terms and attestation data in the review panel.

8. Click "Originate Loan" to sign and broadcast the transaction to the lending pool contract.

TECHNICAL MECHANISM

The tool reads from the attestation registry using view functions such as getScore(address) and getAttestationCount(address) to retrieve on-chain reputation data. It then constructs the loan origination call to the lending pool contract, passing the borrower address, borrow asset, amount (parsed with ethers.utils.parseUnits to handle decimals), term in seconds, interest rate in basis points (rate × 100), and a proof of attestation as bytes. Gas estimation is performed with a 20% buffer to accommodate network variability. The transaction is sent sequentially (one at a time) to avoid nonce conflicts, and the receipt is parsed to compute the actual gas cost using effectiveGasPrice. The tool displays the transaction hash and gas cost upon success.

WHAT IT CANNOT SEE

This tool cannot verify off-chain creditworthiness or identity—it relies entirely on what is recorded on-chain. Attestations may be manipulated through Sybil attacks or collusion if the registry is not properly secured. It cannot assess the borrower's actual ability to repay beyond the limited on-chain data available; it does not analyze income, employment, or other off-chain financial indicators. The tool cannot guarantee that the lending pool's loan terms are legally enforceable or that the borrower's jurisdiction recognizes on-chain credit as valid collateral. It does not simulate liquidation scenarios or stress-test the borrower's portfolio. The tool is a facilitator, not a credit assessor or legal advisor.

PLEASE NOTE

EVM chains only. This tool requires that both the attestation registry and lending pool contracts are deployed and compatible on the selected network. It does not deploy or manage attestations—it only reads existing ones. Always verify the contract addresses and terms before signing; the tool does not assume liability for loan defaults or misrepresented data. Test on testnet first before using with real funds.