Plight
CrossChain Private DeFi Eligibility Layer
Created on 28th December 2025
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Plight
CrossChain Private DeFi Eligibility Layer
The problem Plight solves
Plight addresses a core inefficiency in DeFi risk management: protocols are forced to treat every wallet as equally risky, regardless of on-chain behavior. Lacking a privacy-preserving way to distinguish reckless activity from consistently responsible use, protocols default to extreme overcollateralization, locking excess capital even from reliable participants.
Plight enables users to prove recent responsible on-chain behavior such as maintaining healthy positions or avoiding liquidations without revealing identity, wallet history, or transaction details. Rather than introducing identity systems or reputation scores, Plight provides a narrow, time-bounded eligibility proof. If a user can cryptographically demonstrate responsible behavior within a recent window, a protocol may safely offer better terms; otherwise, it falls back to existing conservative defaults.
Challenges we ran into
Enabling selective trust without creating a new trust surface
The hardest challenge was allowing protocols to treat users differently based on behavior without introducing a new authority that protocols must trust more than the user. Any behavioral layer risks becoming a centralized arbiter of “good” and “bad” wallets. Plight had to be designed so that it refines existing collateral-based security rather than replacing it, ensuring protocols never depend solely on Plight for safety and can safely ignore it at any time.
Making behavior verifiable without making it portable or permanent
Another fundamental challenge was preventing responsible behavior from becoming a transferable or long-lived asset. If eligibility could be reused indefinitely or across contexts, it would quickly turn into a de facto credit score. Plight had to enforce strict time bounds and immediate revocation so that behavior remains contextual, non-accumulative, and non-transferable, even while remaining useful to protocols
Tracks Applied (2)
Ethereum Track
ETHIndia
AWS
AWS