Credit is an abstract mathematical measurement that gauges the trustworthiness of an entity in terms of their financial responsibility. At a high level, in the context of trade and economics, “credit” is a contractual agreement between a lender and a borrower, where the borrower receives something of value today and promises to repay the lender at a later date (usually with a premium for the service). Whenever something is bought on credit, the transaction is only settled at a later date when that credit balance is paid. 

     Entities that have good credit are considered to be financially capable / responsible, thus they can be trusted with a loan. Whereas bad credit typically indicates solvency issues and low level of trustworthiness with money.

      Related Terms:



BTC: bc1qcskmel9llhrdqj3arxyqnennx4ashvfutlreyy
LTC: ltc1qa0fj4lcu5365rep50aza5fqqvx8ef0afemh6s5
ETH: 0x071D72dbc48ad2Fe35daE256eCF0834C5dde688c
DASH: XgXHqVyJiQNdVVszH9cnqCP4uWcP8tVxdK
BNB: bnb1mau4j8kry0jgw45ufy69hvhd0k04llet8fk2p6

Welcome To The Crypfo Initiative!

There was an error while trying to send your request. Please try again. will use the information you provide on this form to be in touch with you and to provide updates and marketing.
Join the Leaders of the Digital Economy.
Gain Access to Specialized Crypto Asset Insight before anyone else.