About Roda
A trustless, decentralized Rotating Savings and Credit Association (ROSCA) native to Arc Network, powered entirely by USDC.
What is a ROSCA?
A Rotating Savings and Credit Association (ROSCA) is one of the oldest and most widespread informal financial systems in the world (known as *tanda*, *susu*, *hui*, *stokvel*, *gün*, or *para günü*). A group of individuals contributes a fixed amount every round, and each member takes a turn receiving the entire collected pot.
Why "Roda"?
In Afro-Brazilian culture (specifically Capoeira and Samba), the *roda* is the human circle in which participants gather and take turns entering the center. This is a perfect metaphor for our rotating savings circle, where every member takes their scheduled turn in the center to receive the round pot.
Solving the Trust Problem
Traditional real-world ROSCAs rely heavily on social trust. Organizers might run away with the funds, or early beneficiaries might stop paying their contributions. Roda removes this trust bottleneck by replacing the organizer with a smart contract escrow and requiring each member to lock one round of contribution as collateral upon joining. If a member defaults, the contract automatically covers it using their locked collateral.
Onchain Reputation
By deploying circles on Arc (Circle's L1), transactions are sub-second and native to USDC. Every contribution and default generates public smart contract events. From these events, Roda calculates on-chain reputation scores, allowing members to build provable creditworthiness and trust scores historically across different savings circles.
AI Liquidity Guardian
To further mitigate pool insolvency and protect member credit scores, Roda integrates the **AI Liquidity Guardian**. This agentic risk engine continuously monitors circle solvency. In the event of a member default, the AI Guardian can execute an automated liquidity injection on-chain using Circle's Developer-Controlled Wallets to cover the outstanding balance. The agent operates under a verified **ERC-8004 on-chain identity** with verifiable reputation scores, demonstrating the power of the Agentic Economy on Arc L1.
Roda's Lifecycle
Roda is designed as a trustless state machine executing three sequential phases:
Recruiting
Creator defines contribution, size, and round duration. Members join by approving and locking one round of USDC contribution as collateral. Once all seats are filled, the circle automatically starts and enters the active phase.
Active Rotating Rounds
Every round, members pay their contribution amount. Anyone can call closeRound() once everyone has contributed or the round deadline is reached. If anyone defaulted, their collateral is deducted to cover the deficit. The round beneficiary then claims the full pot.
Completed
After the final round is completed, the circle is marked completed. All members who did not default can withdraw their locked security collateral in full.