TransUnion, Spring Labs and Quadrata Partner to Deliver Credit Scores to Blockchain

Consumer permission will inform about risk-based decisions on the platform

CHICAGO, April 20, 2023 (GLOBE NEWSWIRE) — In a move to help lenders make better, more informed decisions about credit applications submitted using blockchain technology, TransUnion (NYSE: TRU ) has partnered with Spring Labs and Quadrata to deliver off-chain credit scoring to DeFi and Web3 applications (Internet applications based on public blockchains) for the first time.

Through this new TransUnion service, off-chain credit data will be delivered to DApps (DeFi Applications) using Spring Labs technology and Quadrata, a digital passport network spun out of Spring Labs. The credit information will be provided at the request of the consumer. This patented process, developed by Spring Labs, will enable the delivery of credit scoring data while maintaining the privacy of the consumer’s identity on the blockchain. Credit scores will be delivered from TransUnion facilitated by Spring Labs technology directly to the consumer with statement information that is then shared by the user with the DApp.

“Credit scoring is an important tool for lenders to help mitigate risk regardless of the platform used,” said Jason Laky, executive vice president of financial services at TransUnion. “This partnership with Spring Labs and Quadrata will enable DeFi borrowers to have access to this critical information as they make their lending decisions with confidence, ultimately minimizing their risk and giving borrowers greater opportunity for better terms.”

The partnership comes at an important time when lenders are seeking to establish a more inclusive lending environment, which often involves establishing pathways to consumer loans for many for whom none were previously available or accessible. In the case of blockchain technology, privacy concerns had previously kept credit data out of sight of DeFi borrowers. The combination of credit score data provided by TransUnion, which can provide credit scoring for nearly the entire US adult population, along with Quadrata’s digital passport, will bring lending opportunities to a new group of consumers.

“As more consumers and lenders move to blockchain to conduct business, it’s important to ensure the balance is struck between the information lenders need to assess risk and the privacy and anonymity expected by users of the technology,” said John Sun, CEO . officer of Spring Labs. “This new product with TransUnion’s identity and credit data at its core is a big step toward achieving that balance and allowing more lending opportunities on blockchain while minimizing risk.”

“We see on-chain credit information as a key element for consumers to access more capital-efficient solutions in web3,” said Lisa Fridman, president of Quadrata. “It is an important step in leveraging blockchain technology for important financial use cases in the future.”

For more information, please visit www.springlabs.com and www.quadrata.com. To learn more about credit scoring, click here.

About TransUnion (NYSE:TRU)

TransUnion is a global information and insights company with over 12,000 employees operating in more than 30 countries. We make trust possible by ensuring that each person is reliably represented in the market. We do this with a Tru™ image of every person: an actionable view of consumers, managed with care. Through our acquisitions and technology investments, we have developed innovative solutions that extend beyond our strong foundation in core credit to areas such as marketing, fraud, risk and advanced analytics. As a result, consumers and businesses can act with confidence and achieve great things. We call this Information for Good® – and it leads to financial opportunity, great experiences and personal empowerment for millions of people around the world.

http://www.transunion.com/business

About Spring Labs:

Spring Labs provides enterprise-class data security for sensitive information, such as personally identifiable information for consumers, by leveraging “private, vault-free tokenization,” a technology we pioneered and patented. We operate several secure data exchange networks to help reduce fraud and improve verification capabilities. We also help organizations dramatically reduce the footprint of sensitive data, minimizing the consequences of a breach. Based in Marina Del Rey, California, Spring Labs was founded in 2017 by Adam Jiwan, John Sun and Anna Fridman. Spring Labs has approximately 40 employees and has raised over $63 million from investors including Transunion, GreatPoint Ventures, August Capital, GM Ventures and others.

About Quadrata:

Quadrata is a passport network that brings the identity and compliance layer to DeFi applications on existing public blockchains like Ethereum. Smart contract applications are able to leverage Quadrata’s proprietary technology to access the KYC/AML status, country of residence as well as creditworthiness and accredited investor status of Quadrata passport holders. Quadrata is a spin-out from Spring Labs, incubated as part of Spring Labs’ fundamental commitment to developing and promoting blockchain-based technologies.