ReSource Protocol

The ReSource Protocol provides a comprehensive toolbox for the creation of distributed mutual credit systems that grant participants access to cost-effective credit at extremely competitive terms, further collaborative commerce, and give rise to a new kind of stablecoin which derives its stability and value from organic market forces.

The capabilities of the ReSource protocol can be adapted to various use cases, and may accommodate the needs of closed-commerce mutual trading communities, as well as for-profit permissionless open-market applications. The ReSource Network, as the first application built on the ReSource protocol, is a blend of both and primarily addresses global SMBs, freelancers and startups. In short, the ReSource Network offers participants access to an extremely cost-efficient credit-line in the form of an overdraft-enabled current account. Balances on this account can then be spent in an Amazon\eBay-like environment, featuring goods and services offered by other participants. The ReSource Network utilizes an instance of the ReSource protocol, which eventually will be governed by a DAO consisting of its asset- and stakeholders. The ReSource protocol allows for the creation of additional instances, which differ from the instance described in this paper in the stablecoin arising from their operations, their credit policy, and internal network dynamics. While the stablecoin arising from the activity of the ReSource Network (rUSD) is designed to be pegged to the US Dollar, future projects may create their own trading networks pegged to other assets, stable or otherwise, or alternatively forgo external pegging to introduce their own free-floating currency. While functioning independently in every essential way, these trading networks have means of interacting with each other in ways that maximize mutual benefit while preventing the overspill of risk from one network to another.

ReSource staking rewards stem from the activity of real world businesses - Brick and mortar shops, SaaS providers, and utility companies. Even if crypto enters deep winter, Bitcoin goes sideways and the DeFi space contracts, ReSource staking pools remain exposed to real enterprises, with real customers and real products.

ReInventing Money

The ReSource Protocol gives rise to a new class of stablecoins, achieving autonomous stability. ReSource stablecoins are not artificially pegged to fiat or other assets, but derive their stable value from the goods and services traded with them.

ReInventing Finance

The ReSource Protocol does not only disarm intermediaries and custodians, but decentralizes the logic of credit itself, effectively removing the creditor from the equation.

Uncollateralized, Secure & Decentralized

A distributed network of underwriters allows for the issuance of uncollateralized credit without compromising on decentralization and security.

Intelligently Inclusive

Instead of relying on credit scoring agencies, participants can utilize their social capital, vouch for each other, or use a variety of reputation mechanisms to prove credit worthiness. This isn’t only more fair than traditional credit scores, but also smarter and more reliable.