One of the most promising aspects of the blockchain is its ability to change how businesses handle user data. It has been accentuated in many books and articles by blockchain enthusiasts. Consequently, it shouldn’t come as a surprise that there are emerging companies trying to take part in this change. MyCreditChain offers a credit rating and distribution service that is completely decentralized.
In today’s world, user data is stored in companies across the world. There are financial institutions and credit rating agencies that keep information on specific users. They might use this information for all kinds of purposes, including marketing, research, etc. Even though there are also data aggregators, that collect all of this information for resale, users have no control over the data. MyCreditChain aims to change that. It has created a technology that will gather user information from various sources including financial institutions and public institutions. All of this information will be encrypted and stored on a distributed databases. Users will be able to sell their data to institutions that might need them for MCC tokens. This is how the demand for the token will be supported.
Additionally, there is an interesting airdrop feature. Each participant will receive three seeds every day. They can allocate these three seeds to any other participants in the network as they see fit. Then, the network will distribute 10,000 MCC tokens to individuals in proportion to the seeds. Peer to peer interactions will also be used to evaluate the trustworthiness of the system participants.
The authors of the idea also see P2P money transfers and information transfers as a way to get a more comprehensive view of an individuals creditworthiness. They see this as the main competitive advantage of the network compared to other aggregators. “In traditional credit ratings, annual income, years of working, position, and level of wealth have been major factors, and they are not sufficient to evaluate individual’s creditworthiness. However, MCC contains much more information such as information stored in public institutions, financial transaction history, consumption behavior, personal big data from analysis of SNS activities and communication data and interpersonal confidence index generated in the MCC airdrop” – reads the whitepaper.
Companies might not want to use the services provided by the MyCreditChain network.
One of the main criticisms of the ICO is that there might be lack of interest from the consumers’ perspective. If financial institutions already have data on individuals or they have access to the data through other aggregators, they might not find it necessary to purchase the data using the network. On the other hand, if MCC truly really reaches a global scale and is able to provide more comprehensive and accurate data on individuals than private companies, this might change altogether.