Risk management

Underwriting

We underwrite the user based on: - onchain data: wallet assets, transaction history, DeFi activity; - offchain data: bank account balance, assets & liabilities, cashflow; - exotic data sources like criminal history, tax reports, and employment status, that we get with zkTLS or Open Banking; Using this mix allows us to get more accurate results than most web2 companies, as well as serve a global audience.

We design tailored algorithms (decision tree, weights, and thresholds) for each underwriting case, based on the specifics of our partner integration: location, userbase, and payment target.

Servicing & default management

We currently allow user to repay their debt manually or inside our partner app (through API). For EVM networks, we leverage our partner's infrastructure to enable automatic recurring payments (see Otim Docs). We plan to use more onchain protocols to optimize repayment UX in the future.

We employ several offline debt collection agencies to service our debt if needed. Special agreements with our partners allow us to restrict app or asset access in case of delinquency.