Inner Circles
Trust lending protocol for communities. No collateral, just social proof.
Demo
About
A decentralized loan protocol built on top of [Circles](https://aboutcircles.com/), designed to provide fair access to credit for community members based on **social trust, not assets**. ## Live Pilot: [Frutero.Club](https://frutero.club) Frutero.Club is a talent accelerator for LatAm builders, where members build reputation through contributions to real-world projects. We’re piloting this protocol in Mexico to offer **community-backed liquidity for builders and operators** in need of short-term financial support. --- ## How It Works 1. **Member applies for a loan** in CRC from the Circles Group treasury. 2. **Vouching phase**: At least 3 trusted community members vouch via Telegram bot, each depositing a fixed amount of CRC into escrow. 3. **Dynamic interest rate** is calculated based on number of vouchers: - `<3 vouchers`: ineligible - `3`: 5% - `10`: 1% - `>15`: 0% 4. **Additional lenders** can contribute until escrow is filled. 5. **Funds are disbursed** to the borrower. Repayment cycle begins (default: 30 days). 6. At maturity, **Telegram bot checks wallet balance** and attempts automated repayment. 7. If loan is repaid: - Lenders are paid back (in priority) - Trust score improves 8. If unpaid: - Grace period is triggered - On failure, borrower's **ENS tag is revoked** - Telegram alerts group to adjust trust graph - Future loan access becomes harder (higher quorum required)
How it's made
Tech stack: Smart Contract InnerCirclesLendingMarket.sol implements the loan lifecycle: vouching (min 3 vouchers, 1 CRC each), dynamic interest rates (5% → 0% based on voucher count), prioritized repayment (external lenders first), and default handling with off-chain ENS suspension events. Telegram Service Read-only notification bot using Telegraf.js. Sends notifications for loan events but doesn't handle Telegram reactions for vouching yet. Circles Integration Circles SDK integrated with custom browser runner Missing: Personal CRC (ERC1155) → Group CRC (ERC20) wrapping/minting Current limitation: Contract uses mock ERC20 token; production requires group token minting from personal CRC Architecture Frontend: Next.js 15 + Wagmi v3 with event-driven loan creation Backend: Telegram notifications + member storage Smart contract: Complete on-chain loan lifecycle Gap: CRC token wrapping pipeline (documented in Epic 0, not yet implemented)