Sozu Credit

Vouched, not Verified. Credit for everyone.

A simple, passkeys-powered wallet that gives entrepreneurs instant access to high-yield DeFi and unlocks decentralized credit through community vouching and education.

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🎯 Value Proposition

Sozu Credit is a next-generation financial platform that combines:

• ✅ Simple UX — One-tap access, no passwords, no complexity
• 🔐 Passkeys Powered — Secure, instant login with biometric authentication (no passwords, no KYC)
• 💰 High-Yield DeFi — Automatic 10-20% APY on USDC holdings via Stellar smart wallets
• 📚 Education Gateway — Learn to unlock decentralized credit opportunities
• 🤝 Community Vouching — Get vouched by other users to access credit based on trust, not traditional credit scores

What Makes Us Different?

1. No Passwords, No KYC — Sign in instantly with your fingerprint or face ID via passkeys
2. Earn While You Hold — Your USDC automatically earns 10-20% APY in DeFi vaults
3. Community-Based Credit — Access microloans through vouching from other entrepreneurs, not banks
4. Learn While You Earn — Educational courses unlock higher credit limits and opportunities
5. Simple & Fast — Beautiful, minimal design that works offline and on any device

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🚀 Quick Start

For Users

1. Sign Up — Tap to create account with passkeys (no email, no password)
2. Receive USDC — Get paid directly to your Stellar smart wallet
3. Earn Yield — Funds automatically earn 10-20% APY in defivaults
4. Get Vouched — Invite others or get vouched to build your trust score
5. Unlock Credit — Complete education modules to access decentralized credit pools

For Developers

# Clone repository
git clone https://github.com/sozu-capital/sozu-credit.git
cd sozu-credit

# Install dependencies
pnpm install

# Set up environment variables
cp .env.example .env.local

# Run development server
pnpm dev

See Local Development for detailed setup instructions.

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💡 Core Features

1. Passkeys Authentication

• 🔒 Zero passwords — sign in with biometrics (fingerprint, face ID, or hardware key)
• ⚡ Instant access — no email verification, no SMS codes
• 🛡️ More secure than traditional passwords
• 🌍 Works on all devices (mobile, desktop, hardware keys)

2. Stellar Smart Wallets

• 💼 Automatic wallet creation per user via Turnkey SDK
• 🔐 Secure key management - private keys managed by Turnkey
• 💵 USDC on Stellar network
• 📊 Real-time balance tracking via Stellar Horizon API
• 🔄 Seamless deposits and withdrawals
• 🌐 Testnet and mainnet support

3. High-Yield DeFi Vaults

• 🏦 Automatic 10-20% APY on USDC
• 🔄 Auto-deposit incoming funds to yield vaults
• 📈 Real-time yield tracking
• 💸 Easy withdrawals anytime

4. Trust Points & Vouching

• 🏅 Earn trust points through community vouching
• 🤝 Vouch for other users to build reputation
• 📊 Trust score determines credit eligibility
• 🎁 Bonus points for daily activities and referrals

5. Education Portal

• 📚 Financial literacy courses
• 🎓 Complete modules to unlock credit
• 📈 Learn DeFi and blockchain basics
• 🏆 Achieve certifications for better rates

6. Decentralized Credit

• 💳 Access microloans based on community vouching
• 🎯 No traditional credit checks
• ⚡ Fast approval and disbursement
• 📊 Transparent terms and rates

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🏗️ Architecture

┌─────────────────────────────────────┐
│         Frontend (Next.js PWA)      │
│  ┌──────────────────────────────┐  │
│  │  Passkeys Auth (WebAuthn)    │  │
│  │  Stellar Wallet UI           │  │
│  │  DeFi Vault Dashboard        │  │
│  │  Trust Points & Vouching     │  │
│  │  Education Portal            │  │
│  └──────────────────────────────┘  │
└──────────────┬──────────────────────┘
               │
┌──────────────▼──────────────────────┐
│      API Layer (Next.js Edge)        │
│  • Wallet Management                │
│  • Vault Operations                 │
│  • Trust Points API                 │
│  • Education Progress               │
└──────────────┬──────────────────────┘
               │
┌──────────────▼──────────────────────┐
│      Stellar Blockchain              │
│  • Smart Wallets                     │
│  • USDC Asset Management            │
│  • DeFi Vault Integration           │
│  • Transaction Settlement           │
└──────────────────────────────────────┘

Tech Stack

Frontend

• Next.js 14+ (App Router)
• React + TypeScript
• Tailwind CSS
• WebAuthn/Passkeys
• PWA support (offline-first)

Backend

• Next.js API Routes (Edge Runtime)
• Supabase (PostgreSQL + Auth)
• Stellar SDK
• DeFi Protocol SDKs (Blend/Stellar AMM)

Blockchain

• Stellar Network
• Soroban Smart Contracts (future)
• USDC on Stellar

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📱 User Flow

New User Journey

1. Sign Up → Tap fingerprint/face ID → Wallet created instantly
2. Get Invite Link → Share with others → Receive trust points
3. Receive USDC → Funds auto-deposit to yield vault → Earn 10-20% APY
4. Complete Education → Learn DeFi basics → Unlock credit eligibility
5. Get Vouched → Build trust score → Access credit pools
6. Request Credit → Community vouching determines terms → Receive funds

Existing User Flow

• View balance (wallet + vault combined)
• Track yield earnings in real-time
• Vouch for other users
• Send/receive USDC instantly
• Manage credit and repayments

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🔐 Security & Privacy

• Passkeys Only — No passwords stored, biometric authentication only
• Encrypted Keys — Stellar wallet keys encrypted at rest
• Self-Custody — Users control their funds
• Zero-Knowledge UX — Minimal data collection, maximum privacy
• Community-Based — No KYC required for vouching-based credit

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🎓 Education System

Complete courses to unlock credit opportunities:

• ✅ Introduction to Micro-Credit — Basics of decentralized lending
• ✅ Financial Responsibility — Loan repayment and planning
• ✅ Business Planning — Create solid business plans
• ✅ Community & Trust — Understanding the vouching system
• ✅ Managing Your Funds — Best practices for DeFi funds

Progress = Credit Eligibility — Complete all courses to unlock full credit limits.

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🤝 Community Vouching

How It Works

1. Earn Trust Points — Start with 5 points, earn more through:

   • Daily bonuses
   • Inviting new users
   • Receiving vouches from others

2. Vouch for Others — Give trust points to users you believe in

   • Each vouch increases their trust score
   • Your vouches build your reputation

3. Unlock Credit — Higher trust scores = better credit terms

   • Community vouching replaces traditional credit checks
   • Transparent trust graph visible to all

Invite System

• Share Your Invite Link — Get unique URL to share
• New Users Join — They can vouch for you or you can vouch for them
• Build Your Network — Stronger network = more credit opportunities

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💰 DeFi Integration

Yield Vaults (10-20% APY)

• Automatic Deposits — Incoming USDC automatically goes to vault
• High Yield — Earn 10-20% APY on idle funds
• Easy Withdrawals — Access your funds anytime
• Real-Time Tracking — See your earnings grow daily

Supported Protocols

• Blend Protocol — Stellar-based lending
• Stellar AMM — Automated market maker pools
• Future Integrations — Additional protocols coming soon

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📊 Database Schema

Core Tables

• Users — Passkeys, Stellar wallets, profiles
• Trust Points — Balance, vouches, reputation
• USDC Holdings — Wallet balance + vault balance
• Vault Deposits — Deposit history, yield earnings
• Vouches — Who vouched for whom, trust points transferred
• Education Progress — Course completions, certifications

See scripts/001_create_schema.sql for full schema.

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Turnkey (for Passkeys and Stellar Wallet Management)

NEXT_PUBLIC_TURNKEY_API_BASE_URL=https://api.turnkey.com NEXT_PUBLIC_TURNKEY_ORG_ID=your_turnkey_organization_id NEXT_PUBLIC_TURNKEY_API_PUBLIC_KEY=your_turnkey_api_public_key NEXT_PUBLIC_TURNKEY_API_PRIVATE_KEY=your_turnkey_api_private_key

Note: You need BOTH public and private keys from your API key pair

When creating an API key in Turnkey dashboard, save both keys securely

The private key is only shown once and cannot be retrieved later

Stellar

STELLAR_NETWORK=testnet # or 'mainnet' STELLAR_HORIZON_URL=https://horizon-testnet.stellar.org # Auto-set based on STELLAR_NETWORK if not provided

USDC Asset

USDC_ASSET_CODE=USDC USDC_ISSUER=GA5ZSEJYB37JRC5AVCIA5MOP4RHTM335X2KGX3IHOJAPP5RE34K4KZVN

Vault Protocol

VAULT_PROTOCOL=blend # or 'stellar_amm' VAULT_MIN_DEPOSIT=10

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## 📈 Roadmap

### ✅ Phase 1: Foundation (Completed)

- Passkeys authentication
- Stellar wallet creation
- Trust points & vouching
- Basic UI/UX

### 🚧 Phase 2: DeFi Integration (In Progress)

- USDC asset setup
- Yield vault integration
- Auto-deposit logic
- Balance aggregation

### 📅 Phase 3: Education Portal

- Course modules
- Progress tracking
- Certification system
- Credit unlocking

### 📅 Phase 4: Credit Pools

- Decentralized credit contracts
- Disbursement system
- Repayment tracking
- Trust score integration

### 📅 Phase 5: Advanced Features

- Multi-asset support
- Payment links
- Receipt OCR
- AI financial assistant

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## 🎯 Mission

**Sozu Credit** believes that credit should be accessible to everyone, not just those with traditional credit scores. Through community vouching, education, and DeFi integration, we're building a more inclusive financial system where trust and reputation matter more than paperwork.

**Vouched, not Verified. Credit for everyone.**

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## 📚 Additional Resources

- [Defindex/Blend Protocol Plan](./DEFINDEX_BLEND_PROTOCOL_PLAN.md)
- [Auth Flow Documentation](./AUTH_FLOW_FIX.md)
- [Testing Guide](./TESTING_AUTH_FLOW.md)
- [Mobile Optimization](./MOBILE_ANIMATION_OPTIMIZATION.md)