Risk & Reputation
RevvFi tracks a protocol-wide, on-chain reputation score for every borrower via ReputationRegistry, independent of any single market.
Reputation Score
Every borrower has a score between 0 and 1000, recalculated from scratch on every update:
totalLoans = successfulLoans + defaultedLoans;
if (totalLoans == 0) return 500; // no history yet
successRate = (successfulLoans * 1000) / totalLoans;
defaultPenalty = defaultedLoans * 50;
score = clamp(successRate - defaultPenalty, 0, 1000);This is a success-rate model, not an accumulating counter — a borrower’s score reflects the proportion of their loans that were repaid successfully, minus a fixed penalty per default. A borrower with a long history of mostly-successful loans and a few defaults will score lower than one with a shorter, cleaner history, which keeps the score meaningful regardless of how many loans a borrower has taken.
Risk Labels
| Score Range | Label | Description |
|---|---|---|
| 900 – 1000 | AAA | Excellent track record |
| 800 – 899 | AA | Very good |
| 700 – 799 | A | Good |
| 500 – 699 | B | Fair / new borrower (starting score) |
| 300 – 499 | C | Poor, past defaults |
| 0 – 299 | D | Default-heavy history |
What Updates the Score
| Event | Contract Call | Effect |
|---|---|---|
| Borrower draws down a loan | recordBorrowActivity | Tracked for activity history; doesn’t itself change the score |
| Loan fully repaid | recordSuccessfulRepayment | Increments successfulLoans, score recalculated |
| Loan liquidated with a shortfall | recordDefault | Increments defaultedLoans, score recalculated |
Advisory, Not Enforced On-Chain
Reputation in RevvFi is informational, not automatically enforced by the Market, OfferBook, or CollateralEscrow contracts — there is no on-chain APR floor, LTV boost, or liquidation-threshold adjustment tied to a borrower’s score. What it does provide:
- A public, on-chain, per-borrower track record any lender can check before submitting an offer into that borrower’s market
- A durable signal that follows a borrower across every market they’ve ever operated, not reset per-market
Lenders factor reputation into their own offer decisions (e.g. quoting a lower APR to a borrower they trust, or skipping a market entirely) — the protocol surfaces the data, but doesn’t gate access based on it.