DREP is initiating an upgrade from frictionless blockchain toolkits to DeFi Credit Protocol. DREP 2.0 is the decentralized credit-data middleware based on layer-2 facilities. In DREP 2.0 product line, DREP Token will undertake the key role as the primary approach for fee payment and fully capture the value of the entire credit-data network. Therefore, we will conduct an upgrade plan for DREP Token. DREP Token Swap will officially begin on 2021–03–05. The token swap will span across 6 months, ending on 2021–09–01. The swap ratio of the legacy DREP and the upgraded DREP will be 100:1, thus the total supply of DREP will be reduced from 10,000,000,000 to 100,000,000. The upgraded DREP Token Address will be: 0x3ab6ed69ef663bd986ee59205ccad8a20f98b4c2.
Note: Binance will support DREP (DREP) 2.0 upgrade and handle all technical requirements for users holding DREP on Binance. Trading of upgrade DREP will then open for the new DREP/BTC and DREP/USDT trading pairs at 2021–04–02 04:00 (UTC).
Gate.io exchange will support DREP (DREP) 2.0 upgrade and swap all the DREP tokens on Gate.io for users. After Gate.io completes the token swap, they will commence upgraded DREP token trading.
Other exchanges that have listed DREP will also post their DREP Token Swap Announcement respectively. Please refer to each exchange for the specific time periods regarding the deposits and withdrawals of the old DREP and the upgrade DREP.
DREP 1.0 is dedicated to the development of frictionless blockchain toolkits. With its official mainnet launch in June 2020, DREP 1.0 has independently developed and incubated tool-based protocols related to the vertical markets, such as DREP BaaS, DREP Game SDK (GameFi), Liquidity Tap (DeFi), etc. As the development of DeFi gradually breaks the boundaries of Crypto and evolves towards real-world assets and finance, the DREP development team will reposition DREP’s product line and development path, beginning with the upgrade to DREP 2.0.
Credit is the cornerstone of finance, and a decentralized credit data network is the backbone of the future development of DeFi.
DREP 2.0 is committed towards building a DeFi Credit Protocol, which will change the single method of credit enhancement in the DeFi field through over-collateralization, and enhance the multidimensional credit investigation of DeFi user portraits. At present, most of DeFi core product lending protocols are exploring lower-risk and lower-collateralization lending models, and even innovative forms of unsecured loans. However, neither credit delegation nor third-party guarantees can solve the fundamental issues of loan credit enhancement. The DREP team believes that, in spite of DeFi’s pursuit of anonymity and free-of-KYC, it is still necessary for participants to build credit profiles based on DeFi DID without the need to unnecessarily waste their credit rights and credit premiums accumulated through historical transactions.
DREP Credit Oracle & Credit Explorer
DREP 1.0 initiated the development of DREP DID and DREP Reputation System. Based on the products and the valuable experience, we will further promote the development of DREP Credit Data Oracle solutions and Credit Explorer in the 2.0 product line, thereby forming a credit price for the DeFi protocol, which can assist in determining the configuration of parameters such as variable interest rate, margin rate, commission rate, and clearing threshold.
We believe that the historical transaction records of DeFi users in multiple scattered addresses reflect the user’s credit profile in various product types such as DEX, lending, Earn & Aggregators, insurance, derivatives, wallets, etc., covering credit data sources such as the deposit/withdrawal amount, the collateral value, risk preference, default records, and expected ROI, etc. Of course, these are just one-sided credit data sources without thresholds. The collection of DREP Credit Data source will also cover the credit data of DeFi users in non-DeFi scenarios, such as traditional Internet and even traditional financial fields. The DREP 1.0 products have already established long-term cooperation with many eKYC teams in the blockchain industry and the traditional Internet industry. We believe that with the development of DeFi credit, users are willing to associate their own scattered addresses and IDs in order to obtain incentives and raise their credit ratings.
DREP Layer 2 Solution
The tracking, reading, transfer, and interaction of DREP Credit Data are a series of high-frequency operations. Currently, we utilize the proprietary DREP Chain as a layer 2-like solution to reduce the high cost of operations on the chain.
Considering the established asset scale and the security of long-term accumulation, the DREP development team will start to test the EVM-compatible Rollup solution. Our preferred test solution is Optimistic Ethereum, and integrating the Optimistic Rollup expansion plan according to the outcomes of the test during the development process of DREP Credit Protocol.
Binance Smart Chain is also one of the solutions that the DREP team is very optimistic about. Its advantages include the compatibility of EVM, reasonable handling fees, and fast-developing asset scale. Therefore, DREP will include the deployment of BSC in the development plan to embrace the diverse and rapidly-growing ecological environment.
DREP Credit DID
Based on the decentralized digital identity of the DREP 1.0 product line, a distributed ledger with the capabilities as a distributed key-value store will be established. The ledger will be used as a registry of identifiers that enable decentralized digital identities. As long the identity owner maintains control of his private key, no third party can will be able to access the identifier, and no one will be able to claim to be the identity owner to use that identifier, thus enhancing the security of that DID. The credentials used for verification and project access authorization include identifiers that used to describe the properties of the credentials, as well as metadata. DREP 2.0 provides a system that is led by the identity holder and connects the credential issuer and verifier. Meanwhile, zero-knowledge proof will be introduced to protect user privacy. Based on the traditional PKI challenge-response authentication mechanism and data encryption, DREP will build a cross-chain Credit DID data system, where interactive authentication can be achieved through asymmetric-key encryption between different nodes.
Cross-protocol Credit Granting and Credit Transfer
Through DREP Credit DID, the credit accumulated by DeFi users through historical transaction data, asset management, preference settings, and even Internet social behaviors will be quantified and capitalized, which will fully improve the accuracy and efficiency of the DeFi protocol, and users will be able to manage and use their credit assets more intelligently. We will further explore the feasibility of granting credit from different addresses among different protocols, which will depend on whether the credit is in a fungible state after the capitalization of credit, the risk thresholds of different protocols, and the effectiveness of default risk management mechanisms. Therefore, more widely used credit delegation and credit transfer can also be verified, and the flexibility of DeFi Lego will be magnified exponentially. Therefore, those widely-used credit grantings and credit transfers can also be verified, magnifying the flexibility of DeFi Lego exponentially.
Verifiable White List
Currently, more and more DeFi products will conduct their cold starts through IDO (Initial Decentralized Offering), or acquire a large number of initial users through Airdrop. However, these processes are often filled with numerous robots or invalid users, because most DeFi products’s identification of users (or addresses) is usually extremely lack of judgment basis or efficiency. DREP Verifiable White List is a product that meets the needs of the current industry and helps all DeFi products from new market entrants to relatively mature ones to quickly discover seed users.
At the same time, the credit dimensions of DREP Credit Data not only identify the financial index, but also identify the community/social index. DAO not only relies on users who hold a large number of coins, but also on long-tail users who help promote the product. Therefore, with the gradual development and improvement of DREP Credit Protocol’s product line, more and more DeFi users can receive their credit investigation and associate it with their frequently-used valid addresses and accounts to increase their weight in the early seed user acquisition process of all DeFi products.
The Value of DREP Token
DREP Token is still the only native token in the DREP 2.0 product line and will play a more important role which captures greater cost value.
The upgraded utilities of DREP Token:
1. Payment for fees of getting Credit Data at the calling interface in DREP Credit Oracle;
2. Payment for publishing demands and tasks on DREP;
3. Payment for fees of generating various verifiable credentials;
4. Payment for fees of using various functions such as DREP Verifiable White List
DREP 2.0 Roadmap
Establishing the framework of the distributed digital-identity system
Providing the testing interface for DID calling
Achieving the generation and transfer of verifiable credentials
Optimization of the Reputation System’s anti-attack function
Beta test of the DREP Verifiable White List
Test of Optimistic Ethereum
Official launch of DREP Verifiable White List function
Deloyment of DREP Credit DID on multiple chains
Completing and confirming the Credit Rating/Ranking Mechanism V1 scheme
Grayscale test of DREP Credit Oracle’s basic functions
Grayscale test of DREP Credit Explorer V1
Official launch of DREP Social Credit Mining
Optimization and public testing of DREP Credit Oracle V1
Optimization and public testing of DREP Credit Explorer V1
Optimization of the Credit Rating/Ranking Mechanism scheme
Confirmation of the V1 plan for the capitalization of credit
Completing research on the cross-protocol credit granting and credit transfer function
Completion of the cross-chain interaction test; Open of the API
Optimization and public testing of DREP Credit Oracle V2
Optimization and public testing of DREP Credit Explorer V2
Launch of credit capitalized products
Beta test of the cross-protocol credit granting and credit transfer function