Bloom is an end-to-end protocol for identity attestation, risk assessment and credit scoring, entirely on the blockchain. Bloom allows both traditional and digital currency lenders to serve billions of people who currently cannot obtain a bank account or credit score.
There are 5 issues with current credit
infrastructure that Bloom aims to address:
Borrowers must expose all of their personal information when applying for a loan - the same info an attacker can use to open new lines of credit.
Credit histories are not portable across countries, forcing individuals to re-establish their credit track records from scratch when they relocate.
Most credit systems rely almost entirely on historical debt repayment information and therefore cannot easily accommodate users who are new to credit.
Borrowers in markets with less developed financial and regulatory infrastructure struggle to access credit as lenders have limited identity and scoring data.
Credit data is centralized. In most markets, a single provider scores credit, resulting in an uncompetitive ecosystem for evaluating credit risk.
The Bloom Protocol provides solutions allowing any lender authorized by a borrower to safely and securely issue credit to that borrower.
The three main components of the Bloom protocol are:
BloomID lets users establish a global, federated identity with independent third parties who publicly vouch for their identity information and legal status.
BloomIQ is a system for reporting and tracking current and historical debt obligations that are tied to a user’s BloomID.
BloomScore is a dynamic and inclusive indicator of an individual’s likelihood to pay debts that adapts to the maturity of a user’s credit history.
The Bloom token allows organizations to participate in evaluating user identities and creditworthiness. It also serves as the voting token to guide the evolution of the Bloom protocol.
BLT will serve as a voting mechanism for instituting changes to the BloomScore phases and algorithms.
Payment history providers and lenders will need to submit proposals to the ecosystem regarding why they are trustworthy, what their business does, and why their data should be included in the BloomScore.
Identity attesters and risk assessors on the Bloom network will be able to set prices and receive payment for their services in BLT.
These organizations pay BLT as an application fee and, in turn, users who vote on their eligibility will receive a portion of that fee.
While the network is in its infancy without a wide array of attesters, it is more susceptible to attack. In order to increase the immediate resilience of the network, users will be required to put up a small amount of BLT as collateral for users who they invite.
This collateral serves as protection against a mass-scale network of malicious accounts.
BloomCard is one of the first projects based on Bloom credit infrastructure, launched alongside the Bloom protocol.
The BloomCard will help you build up your BloomScore by spending responsibly.
The Bloom Protocol will be developed in 5 major phases.
Phase 1 will allow for users to use BLT to invite their friends and colleagues to seed the initial network securely. Users with BLT will be able to vote on early development-related proposals for the future of the network.
Phase 2 will deploy an application allowing users to verify their identity and get matched with their BloomID. During this phase, users will be able to confirm identity information and connect data for BloomIQ.
Peer to Peer staking modules will be built first, followed by organizational staking.
Phase 4 will allow users to check their score, as well as open up a developer ecosystem to lenders to check a given user's BloomScore, providing sufficient privileges are granted from the loan recipient.
Once the risk assessment and scoring protocol is complete, Bloom will launch the BloomCard. The BloomCard will serve as a brand new way for individuals to display creditworthiness and improve their BloomScore.
Over time BLT flows through the network. Lenders, data attestation providers, and borrowers will all own Bloom Network Token and their amount acquired will correlate to their influence on the network.
Jesse studied computer science at Stanford University. Jesse is an advisor to The Alchemist Accelerator, a Thiel Fellow, and a mentor at the European Innovation Academy. He’s served as a guest lecturer at Stanford University, The University of Southern California, DePaul, among others. Prior to Bloom, Jesse founded enterprise analytics software, NeoReach. NeoReach provides analytics for Fortune 500 brands including Microsoft, Citrix, Walmart, among others.
Ryan Faber developed a behavioral recognition methodology designed to leverage online psychographic data for user acquisition. Using his research, Ryan launched Flatiron Collective. Flatiron now manages over $100M annually in digital marketing spend. His developments in user acquisition have allowed him to become a 3x Webby Award winner and his methodology has been attributed to the exponential growth of numerous billion dollar brands.
Daniel Maren studied computer science at Stanford University. He founded solar power electronics company, Dragonfly Systems, which was acquired by SunPower Corporation in 2014. Daniel remains an advisor to SunPower, guiding solar + storage product efforts and international business development. He has expertise in international infrastructure development, finance, and energy, where he is a recipient of a Forbes 30 under 30 award. Previously, he architected a biofuels program for Indonesian farmers, who struggle with seed and equipment financing.
Alain Meier studied computer science at Stanford University and served as a research scientist for Stanford Bitcoin Group. Founded by 21 CEO, Balaji S. Srinivasan, The Stanford Bitcoin Group is Stanford University’s blockchain research organization. Alain developed a number of open source cryptography projects including CryptoNote.me, an open-source service allowing users to send encrypted, single-view messages in seconds. Following his work at Stanford, Alain is serving as the CEO of compliance and identity verification company, Cognito (formerly BlockScore).
John is a founding research scientist at Stanford Bitcoin Group and studied computer science at Stanford University. He is a Thiel Fellow and cofounder and CTO of identity verification company, Cognito. John is an expert at identity infrastructure, previously engineering data preprocessing algorithms for large-scale entity extraction for deterministic and probabilistic record linkage. This is currently implemented into Cognito’s core identity resolution and record linkage infrastructure, now 14 processing identity and compliance for tens of millions of cryptocurrency users globally.
Shannon is CEO of Mr.Progress, a leading marketing firm for fast-growing Silicon Valley companies working on transformative technologies. She has worked with Visa, Coach, Jawbone, Branch and others. She is co-founder of Sourcerers.io, supporting dominant Ethereum projects and blockchain initiatives. Passionate about disruptive models, she has been investing, advising and partnering with early stage companies for years. She frequently lecturers on marketing and company building at Stanford University, her alma mater, and accelerators. She previously headed marketing at FOUNDER.org, an early stage fund investing in young innovators.
Joey is the Co-Founder of Augur, the world’s first decentralized prediction market and oracle system. Joey has been a pioneer in the Ethereum community for many years, having launched the very first token project built on Ethereum. More recently, he’s advanced the cryptocurrency community in his role as Chief Investment Officer of Pantera Capital, a $100m ICO fund investing in token sales.
Luis is the project lead and co-founder of Aragon, an Ethereum-based project that enables dApps to run entire organizations using the blockchain. Luis was recognized as the best underage European programmer in 2011, is a Forbes 30 Under 30 and an MIT TR35, and was an Advisor to the VP of the European Commission. He co-founded the blockchain startup Stampery. Prior to founding startups, he created the world’s first Linux distribution with facelogin.
Geoffrey served as the Chief Scientist for Experian Consumer, and was the SVP of Product Innovation for Experian Global. Experian is one of the “Big Three” credit-reporting agencies, alongside TransUnion and Equifax. It collects and aggregates information on over one billion people, employs 17,000 people, and generated $4.6 billion in revenue in 2016. In addition to serving as Chief Scientist and SVP of Product while at Experian, Geoffrey also served as Experian’s VP of Marketing Strategy and Innovation. He developed consumer forensics and insights, distribution strategies, and market expansion strategies.
Shift developed the Shift Card, a VISA debit card that currently allows Coinbase users in select states and territories in the U.S. to spend bitcoin anywhere VISA is accepted.
Joe is the co-founder of District0x, an Ethereum dApp decentralizing the world’s marketplaces. Prior to this, Joseph founded Sourcerers.io, a consultancy supporting leading Ethereum-based projects. Joe previously spent three years as an Operations Manager for Coinbase. Prior to Coinbase, he was a derivatives trader for Three Arrows Capital, an international hedge fund based in Singapore.
David Raphael is the CEO of Infinity Media, a digital agency specializing in conversion rate optimization. He studied at the University of Chicago and has spent the last six years sharpening the product-marketing funnels for companies like Artsy, FanDuel and Wag!
Devon Zuegel studied Computer Science at Stanford University, where she also served as the Editor in Chief of the Stanford Review. She’s worked as a software engineer at Affirm, a financial services company that provides an affordable, flexible, and transparent credit option. Devon built out Affirm’s identity infrastructure, ensuring that users are who they say they are and linking that information into the credit underwriting system, which funds millions of dollars of loans every day. Now, she works as an independent consultant advising startups on technology and strategy.