Soda Protocol Launches Financial Identity System

The protocol's identity system, Soda ID, will use tons of on-chain data to generate user portraits for wallet addresses.

By
Anirudh Tiwari
on
December 16, 2021
Category:
Breaking News

First Iteration of the Financial Identity System

Soda Protocol has launched Soda ID 1.0, an on-chain data-based financial identity system on Dec. 15.

Soda ID collects a large amount of on-chain data and executes a series of operations like cleansing, extraction, classification, training, archiving to eventually generate a user portrait for the particular wallet in question according to its on-chain behavior. It constantly accumulates the value of on-chain behavior for users.

“We are also constantly improving the performance and accuracy of Soda ID to make the data and scores more reasonable. Any suggestions are welcome. Also, in order to improve the accuracy and diversity of the instruction parser, we welcome all protocols on Solana to contact us and build a credit system on Solana together. Soda ID is an innovative attempt and maybe the beginning of a new era. We look forward to building it together with you all!” stated the official Medium blog that introduced this development from the protocol 
Source: Soda Protocol Twitter

The protocol also plans to build a reasonable credit score for each user based on the data and user profiles via constantly improving the credit model clubbed with their off-chain social information. Soda ID has several data pipelines that are segregated to collect and analyze the data.

Source: Soda ID Data Flow

As previously reported by Solana.News, the protocol introduced a yield farming campaign for liquidity providers on Nov. 25.  The campaign will end on Dec. 14 at 16:00 UTC, after which the participant’s rewards will be determined by the average liquidity value of all snapshots.

What is Soda Protocol?

Soda Protocol is a decentralized finance (DeFi) protocol built on the Solana blockchain network that utilizes an on-chain credit rating system that evaluates the historical behaviors of addresses involved in the borrowing and lending transactions on the protocol. Its on-chain credit rating system, Sol ID, acts as the foundation for credit loans, airdrop options, and governance of the protocol.

Find more about Soda Protocol here:

Website | Twitter | Docs | Telegram | Discord

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Anirudh Tiwari

Anirudh is a cryptocurrency analyst and writer who specializes in derivatives, DeFi, regulations and CBDCs. He has a Master’s degree in Finance. Before delving into crypto, he worked with a leading U.S. based investment bank. Apart from work, he is a music connoisseur and likes to play the drums.