TrueFi is an uncollateralized lending protocol that provides institutional borrowers with fixed-term, zero-collateral loans. The loans are powered by on-chain credit scores, and the governance of protocol is delegated to $TRU token holders.

The platform states that all functions performed in TrueFi are fully transparent to support the flow of funds for creditors and debtors when participating in the program. As lenders add specific assets to the TrueFi loan pool, they have the ability to earn interest and TRU tokens. Any unused funds are transferred to the other DeFi protocols, such as Curve.fi, to ensure liquidity is available for new loans.

As per the project, lenders can deposit stablecoins into TrueFi loan pools, which are used to finance loans and earn attractive interest rates. TrueFi states that its loan pool uses a predetermined strategy to provide loans to creditworthy borrowers, thereby minimizing risk on returns. These loan pools are overseen by a third-party affiliate of TrueFinance called TrueTrading. #trusignal