Each borrower on 8lends receives a credit rating (See entry 14) from AAA to D. This rating determines the interest rate and whether the business is accepted onto the platform at all. The rating is calculated by Maclear AG (See entry 33) based on more than 40 criteria: financial strength, credit history, collateral liquidity, business model, and documentation. Businesses rated below C, CC, D are not accepted onto the platform. The rating is displayed on every project card, helping investors assess the risk before they invest.
What is a credit rating on 8lends?
A credit rating is an assessment of a borrower’s creditworthiness on a scale from AAA (minimal risk) to D (rejected). The logic is the same as the one used by international rating agencies like S&P and Moody’s, but adapted for small and medium businesses.
The rating answers the investor’s key question: how likely is the borrower to repay the loan on time and in full? The higher the rating, the lower the risk, and the lower the interest rate at which the borrower can raise funds.
AAA–D rating scale
AAA — minimal risk: highest financial strength, excellent collateral, spotless history; low interest rate
AA, A — low risk: strong performance, minimal risks; moderate interest rate
BBB, BB — moderate risk: good performance with some specific points to watch; higher interest rate
B, CCC — elevated risk: a few things to watch; high interest rate as a risk premium
CC, C — high risk: NOT published on the platform
D — default / rejected: NOT published on the platform
Only businesses with an acceptable level of risk are listed on 8lends. Applications rated C, CC, and D are rejected at the due diligence stage.
How the rating is calculated
The rating is assigned by Maclear AG (See entry 33) in its role as Collateral Agent (See entry 12), following a five-stage due diligence process that looks at over 40 criteria:
— Financial strength — revenue, profit, margin, cash flow, debt-to-equity
— Credit history — the company’s and the owners’ history, late payments, current obligations
— Collateral — type, liquidity, market valuation, LTV (See entry 32)
— Business model — purpose of the loan, repayment plan, market position, quality of management
— Documentation — incorporation papers, financial statements, licences
Fewer than 10% of applications make it through the full cycle. More detail on the process in How 8lends Selects Companies for Funding.
How the rating affects the rate
Ratings and interest rates are connected: the higher the risk (i.e., the lower the rating), the higher the rate, as compensation to the investor for taking on that risk.
High (AAA–A) — lower end of the 19–25% range
Medium (BBB–BB) — middle of the range
Lower (B–CCC) — higher end of the 19–25% range
This is a fundamental lending principle: for taking on more risk, the investor gets a higher potential return. You choose the risk-reward balance that suits you best.
How to use the rating when choosing a project
The credit rating is a key factor, but not the only one. When picking a project, it’s worth looking at the whole picture:
— Credit rating – a baseline risk assessment
— LTV – how well the collateral covers the loan (a low LTV means a bigger safety net)
— Buyback (See entry 7) – extra protection on the loan principal for certain projects
— Loan term – 4 to 16 months; affects how liquid your investment is
— Collateral type – how easily the asset can be sold
— Purpose of the loan – what the borrower is raising the money for
By mixing projects with different ratings, you can build a portfolio that matches your own risk tolerance.
How the 8lends rating is different from crypto metrics
Most DeFi platforms assess risk using on-chain numbers: pool utilisation, the amount of crypto posted as collateral, health factors. That works for crypto-collateralised lending, but it doesn’t measure whether a real business is actually creditworthy.
The 8lends credit rating evaluates real businesses: their finances, their track record, and their ability to service debt from their day-to-day operations. It’s much closer to traditional bank underwriting, brought onto Web3 infrastructure.
Frequently Asked Questions
Who assigns the rating: an algorithm or real people?
The rating is assigned by the Maclear AG team (Collateral Agent) based on thorough due diligence. It’s a combination of quantitative analysis (financial ratios, metrics) and qualitative judgement (business model, management, market position), not a purely algorithmic score.
Can I see exactly how the rating for a specific project was calculated?
Each project card shows the final rating and the key parameters (LTV, collateral type, term). The detailed rating methodology and the borrower’s full financial statements are held by Maclear AG for reasons of commercial confidentiality.
Does the rating change during the loan term?
The rating is assigned when the project is listed. Maclear AG monitors the borrower throughout the loan term; if the situation changes significantly, investors are notified through the platform. The assigned rating itself reflects the assessment at the time of publication.
Can a project with a high rating still default?
Yes. A rating is an estimate of probability, not a guarantee. Even a borrower with a AAA rating could theoretically face unforeseen circumstances. A high rating means a low probability of default, but not zero. That’s why collateral and buyback exist as extra layers of protection.
Why aren’t projects rated below C published?
It’s a basic investor protection filter. Projects with a high risk of default (CC, C, D) are rejected at the due diligence stage—it’s better to stop a questionable application early than to deal with a default later. Fewer than 10% of applications pass the full review cycle.
What does “risk score” mean? Is it the same as a credit rating?
8lends uses the term “credit rating” on a scale of AAA to D—that’s the accurate description. “Risk score” is sometimes used loosely in the industry, but 8lends sticks to a credit rating scale similar to the one used by international agencies.
See also: How 8lends Selects Companies for Funding, Does 8lends Use Collateral?, What Happens if a Borrower Defaults?, How to Diversify Investments on 8lends, and Glossary: Key 8lends Terms.
Risk Disclosure: Investing on 8lends involves risk, including the possible loss of principal. The absence of platform fees does not reduce the credit risk of the borrower. Returns are not guaranteed. Past performance is no guarantee of future results. 8lends is a platform operated by Alpha Systems LLC, a registered VASP supervised by the FSA of Saint Vincent and the Grenadines. Maclear AG (Switzerland), a member of PolyReg SRO supervised by FINMA, acts as Collateral Agent. Regulatory framework as of May 2026.