Sozu Capital

SozuPay architecture, NGO to wallet flow, DeFi yield, and offramping — from donor to Sozu Wallet to cash

How It Works

This page describes the SozuPay architecture and the end-to-end flow: NGO and Business dashboards for stablecoin payments (with DeFi baked in), Sozu Wallet with auto-compounding yield, the path from NGO to wallets, and offramping (MoneyGram today, Sozu Anchor tomorrow). For strategy and roadmap, see Overview. Full technical docs: SozuPay MVP docs.

SozuPay Architecture at a Glance

Two dashboards, one stack

  • NGO Dashboard (SozuPay) — Manage beneficiaries, disbursement schedules, and batch USDC payouts. Repayment confirmation and audit trail. Org wallet can hold USDC in yield (Blend/Defindex); 90% to vault, 10% hot for liquidity. Staff log in, pick an organization, run payouts to recipient Stellar addresses.
  • Business Dashboard (SozuPay) — Receive payments in USDC, track revenue, manage payouts to providers or employees. Same DeFi yield on idle balance; one dashboard for programmable dollar payments.

Sozu Wallet

  • Recipient (and later merchant) wallet — Non-custodial USDC on Stellar; SDP-enabled so any SDP sender can disburse to Sozu. Passkey/MPC; ARS display.
  • Auto-compounding DeFi yield — Idle USDC in the wallet earns yield (e.g. Blend/Defindex); no lockup, yield compounds in the background.

Flow: NGO → Wallets

  1. Donors/NGOs allocate USDC; funds sit in the org wallet or yield vault.
  2. Staff use the NGO Dashboard to send USDC to beneficiary addresses.
  3. Recipients receive funds in Sozu Wallet; they hold, spend, or offramp to local currency.
  4. Repayments and behavior are tracked and feed trust score and future credit.

Offramping: MoneyGram and Sozu Anchor

  • Today / near term: MoneyGram — USDC → fiat (e.g. ARS cash-out) so recipients get local currency. First deployment targets Argentina.
  • Future: Sozu Anchor — Proprietary offramping service: direct fiat on/off ramp where regulation allows, local liquidity, and full control of the rail. The long-term way to cash in and out of the Sozu stack.

Overview (Summary)

  • NGO Dashboard (SozuPay): Beneficiaries, disbursement schedules, single and batch USDC payouts, repayment confirmation, reports. First deployment: Year 1 NGO microcredit in Argentina (partner: MUJERES 2000) on Stellar + Soroban + USDC. DeFi yield on org balance.
  • Sozu Wallet: Non-custodial USDC wallet; SDP-enabled; auto-compounding yield; ARS display; passkey/MPC.
  • Offramping: MoneyGram (live path); Sozu Anchor (future proprietary offramp).
  • Repayment & tracking: Tools for NGOs and recipients; foundation for behavioral credit and trust score.

Technical flow: Staff log in (Privy), pick an organization, use the dashboard. The org has a wallet (classic G or Soroban contract C) that holds USDC; payouts go to recipient Stellar addresses.

The Flow

1. Donor / NGO Funding

Donors and NGOs contribute funds to micro-credit batches that support beneficiaries in target communities.

  • Donors/NGOs send or allocate USDC to the program.
  • Funds are pooled and managed via the SozuPay dashboard (beneficiary management, disbursement schedules).
  • All donations and disbursements are transparent and trackable on-chain (Stellar).
  • First partner: MUJERES 2000 (Argentina). Target: 500–2k recipients in Year 1.

2. Vault Allocation

Funds sit in on-chain wallets/vaults (org wallet; optional yield via Blend/Defindex).

  • Org wallet holds USDC (classic Stellar account G or Soroban contract C).
  • Optional: idle USDC can earn yield (e.g. Blend, Defindex); 90% to vault, 10% hot for liquidity.
  • Real-time balance and transaction visibility via Stellar Horizon / dashboard.
  • Payouts from the same wallet to recipient Stellar addresses.

3. Trust-Based Credit (Behavioral Layer)

Repayment behavior and tracking feed into trust and future credit.

  • NGOs and recipients log repayments and mora in the dashboard.
  • Credit state and repayment history form the basis for behavioral credit and trust score (pilot micro-loans via Blend in Year 1 roadmap).
  • No traditional credit checks; trust is built through use and repayment.

4. Proof of Allocation

Every transaction is visible on Stellar.

  • On-chain transaction records (Stellar Explorer / Stellar Expert links).
  • Real-time balance and payout status in the dashboard.
  • Audit trail for disbursements, repayments, and (where applicable) yield.
  • Full transparency for donors, NGOs, and recipients.

The Ecosystem

Actor Role
NGOs Distribution channel, trust validator, volume generator; use SozuPay dashboard for beneficiaries and payouts.
Recipients / wallet users Receive USDC in Sozu Wallet; hold, spend, or offramp to fiat; repay and build credit behavior.
Donors Fund micro-credit batches; track impact and allocation on-chain.

Sequence: Distribution comes from NGOs and recipients first; merchants and rails (Year 2+) follow. See Overview for Year 1 / 2 / 4 strategy.

Key References