BTCLend

BTCLend is a Bitcoin-secure P2P lending app where AI scores borrower risk and privacy-preserving proofs share signals without revealing data. A desktop UI lets users onboard and interact via Core.

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Inspiration

Traditional lending systems rely heavily on collateral, manual underwriting, and intrusive data sharing. This excludes creditworthy users and slows down loan access. BTCLend was inspired by the idea that risk can be priced without revealing identity, and that Bitcoin-secured infrastructure can be used to build trust-minimized financial products without banks as intermediaries.

What it does

BTCLend is a desktop-based P2P lending platform where:

  • Borrowers onboard and submit basic financial signals
  • An AI service generates a risk score
  • A privacy-preserving proof (ZK) attests to claims without exposing raw data
  • Loan creation, status updates, and risk hashes are recorded via smart contracts on the Core blockchain

Lenders see clear, on-chain risk signals and loan states without accessing sensitive borrower data.

How we built it

  • Frontend: Electron + React with centralized state management
  • Blockchain: Solidity smart contracts deployed on Core (CoreDAO), an EVM-compatible, Bitcoin-secured Layer-1
  • Web3 Integration: ethers.js for contract interaction and wallet signing
  • AI Layer: Local mock service that returns structured credit risk scores
  • Privacy Layer: ZK-proof placeholder module simulating private claim verification

The UI drives the full flow, while contracts handle trust, state, and settlement logic.

Challenges we ran into

  • Designing a lending flow that works with Bitcoin-aligned infrastructure without using Ethereum
  • Balancing real smart contract interaction with mocked AI and ZK components under time constraints
  • Keeping the UX simple while explaining advanced concepts like AI risk scoring and zero-knowledge proofs
  • Ensuring clear separation between on-chain logic and off-chain intelligence

Accomplishments that we're proud of

  • A fully working desktop application with real blockchain interaction
  • Smart contracts deployed on a Bitcoin-secured chain (Core), not just a simulation
  • Clean UI-driven lending flow with stateful interactions
  • A modular design that allows AI and ZK components to be swapped for real implementations later

What we learned

  • Bitcoin-aligned ecosystems can support rich DeFi applications when paired with EVM-compatible execution layers
  • Strong UX is critical when presenting advanced cryptographic concepts
  • Prototypes don’t need full cryptography to be meaningful — clear abstractions matter
  • Building commercially viable fintech means prioritizing efficiency and clarity over complexity

What's next for BTCLend

  • Replace AI mocks with real credit models using alternative data
  • Integrate real zero-knowledge proof systems for identity and claim verification
  • Add secondary market support for loan positions
  • Expand lender analytics and risk dashboards
  • Explore regulatory-compliant deployments in emerging markets ```

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