Borrower Analysis Framework for Growth Stage DAOs
To produce this Framework we’ve reviewed existing approaches and methodologies for on-chain and TradFi risk analysis [1]. We think it's is a good start for this stage of market development.
We're not yet publishing the second level down of each section, including a full breakdown of the criteria, weightings and suggestions on how to use the Framework to 'score' a Borrower. Than can follow at the right time.
In the medium to longer term, a more complete frame of reference for identifying the appropriate methodologies to measuring DAO creditworthiness ought to emerge. This will be after many iterative meetings with DAO teams, industry-specific experts, the emergence of full and standardized financial disclosures and the evolution of diligence standards of verified partners and the larger Debt DAO community.
That's a while away yet.
[1] Terms such as scoring, score, rating and analysis are used interchangeably. Lenders are required to do their own analysis.
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