Advancements in decentralized credit scoring reshape lending markets by assessing creditworthiness via blockchain data. CreDA leverages on-chain activity for inclusive scoring, while Spectral uses AI to predict risk. These tools expand access to DeFi loans, bypassing traditional systems. Investment value is high, given the growing $13 billion DeFi lending sector. CreDA’s simplicity and Spectral’s analytics offer competitive edges, though privacy concerns and data accuracy could slow adoption. Their success will drive lending innovation.