DeFi Education • 619 implied HN points • 28 Apr 23
- On-chain reputation helps build trust by tracking the behavior and reliability of users in a blockchain network. This way, people can make informed decisions when interacting or transacting.
- On-chain identity is a unique digital representation of a person or entity, different from traditional IDs. It allows for privacy while providing a way to establish trustworthiness within decentralized systems.
- Using on-chain reputation might allow individuals from underbanked communities to access financial services, which they often struggle to obtain through traditional methods. It promotes inclusion in the financial system.