FluidTokens on Milkomeda [Platform + Audit + Open Source]

[GENERAL] Name and surname of main applicant

Matteo Coppola

[GENERAL] Email address of main applicant

Contact@fluidtokens.com

Additional applicants

Raul Antonio Rosa Padilla

[GENERAL] Please specify how many months you expect your project to last (from 2-12 months)

3

[GENERAL] Please indicate if your proposal has been auto-translated into English from another language.

No

[GENERAL] Does your project have any dependencies on other organizations, technical or otherwise?

No

[GENERAL] If YES, please describe what the dependency is and why you believe it is essential for your project’s delivery. If NO, please write “No dependencies.” .

No dependencies

[GENERAL] Will your project’s output/s be fully open source?

Yes

[GENERAL] If NO, please describe which outputs are not going to be open source. If YES, please write “Project will be fully open source.”

Project will be fully open source

[METADATA] Category of Proposal

dApp

[IMPACT] Please describe your proposed solution.

The proposed solution involves developing a smart contract on the Solidity programming language to facilitate lending and borrowing of milkADA and wrapped assets on the Milkomeda platform. This smart contract will utilize NFTs as collateral for the lending and borrowing process.

Additionally, a new frontend will be created to enhance the user experience by allowing easy connectivity with the Metamask wallet and seamless interaction with the Milkomeda platform. This frontend will provide a user-friendly interface for users to lend, borrow, and manage their assets.

To ensure security and reliability, an audit of the smart contract code will be conducted. This audit will help identify any potential vulnerabilities or flaws in the code, allowing for timely fixes and improvements. The auditing firm has already been chosen.

Furthermore, the code will be open-sourced, meaning it will be made freely available for the public to view and contribute to. This will help to onboard new developers and encourage collaboration within the community, resulting in continuous improvement and innovation of the Milkomeda platform.

The overall result will be an opensource DApp that allows a smooth experience for Milkomeda users.

[IMPACT] How does your proposed solution address the challenge and what benefits will this bring to the Cardano ecosystem?

The proposed solution addresses the challenge of enabling lending and borrowing on the Milkomeda platform by implementing a smart contract and developing a new frontend. By leveraging NFTs as collateral, users will be able to lend and borrow milkADA and wrapped assets with ease.

This means:

• Users on Cardano can better use Milkomeda
• Open source project for new developers
• Layer 2 speed for Cardano users
• Lower fees on the platform due to L2 implementation
• Onboarding of EVM developers to Cardano

[IMPACT] How do you intend to measure the success of your project?

To measure the success of the project, the following key metrics can be taken into consideration:

1. Adoption and User Engagement: Monitor the number of users who have started utilizing the lending and borrowing services on Milkomeda. This can be tracked by the number of active addresses interacting with the smart contract and the volume of transactions.
2. Asset Liquidity: Measure the liquidity of the milkADA and wrapped assets on Milkomeda. This can be evaluated by calculating the total value locked (TVL) in the smart contracts, which represents the amount of assets being borrowed or lent.
3. Security and Reliability: Conduct regular security audits of the smart contracts to identify and rectify vulnerabilities. Ensuring the security and reliability of the platform is crucial to building trust among users and developers.
4. Community Growth: Track the growth of the Milkomeda community on different platforms such as social media, forums, or mailing lists. Increasing engagement, active discussions, and a growing user base indicate a successful project.
5. Comparison with Competitors: Compare the project's performance and metrics with similar lending and borrowing platforms to assess its competitiveness and market position.

[IMPACT] Please describe your plans to share the outputs and results of your project?

Outputs:

1. Documentation: A comprehensive documentation will be created, which will include all the technical details, functionalities, and guidelines related to the smart contract development on Solidity for lending and borrowing milkADA and wrapped assets on Milkomeda. This documentation will be shared with the community through various channels such as the project's website, developer forums, and social media platforms.
2. Open Source Code: The codebase of the project will be made open source, allowing developers from around the world to access and contribute to the project. This will be done through a repository on a popular platform like GitHub. By open-sourcing the code, the project aims to encourage collaboration, innovation, and the growth of the ecosystem.
3. Audit Report: To ensure the security and reliability of the smart contracts and the platform as a whole, an independent audit will be conducted by security experts. The audit report will assess the code for any vulnerabilities, potential exploits, and compliance with industry best practices. This audit report will be made publicly available, giving users and stakeholders confidence in the security of the platform.
4. Frontend Deployment: The project will deploy a new frontend that allows users to connect their Metamask wallets and interact with Milkomeda seamlessly. The frontend will be user-friendly, intuitive, and provide a smooth experience for users. The deployment will be announced through various channels and users will be encouraged to provide feedback and suggestions for improvement.

[CAPABILITY/ FEASIBILITY] What is your capability to deliver your project with high levels of trust and accountability?

Fluidtokens teams has already completed a platform on Cardano mainnet that has lent over 4M ADA to users.

https://app.fluidtokens.com/

Teams has not only Cardano expertise but is able to add integration from other chains, the last one is wallet connect.

With more than 2 years in Cardano ecosystem as developers and 3 years in Solidity development Fluidtokens team has the right skills in order to deliver a project like this

[CAPABILITY/ FEASIBILITY] What are the main goals for the project and how will you validate if your approach is feasible?

The main goals for the project are as follows:

1. Develop smart contracts on Solidity for lending and borrowing milkADA and wrapped assets on Milkomeda using NFTs as collateral.
2. Deploy a new frontend that allows users to connect their Metamask wallets and interact with Milkomeda.
3. Conduct an audit of the code to ensure security and reliability.
4. Make the code open source to facilitate collaborations and onboard new developers.

To validate the feasibility of the approach, the following steps can be taken:

1. Conduct a thorough technical feasibility analysis to ensure that the proposed smart contracts and NFT collateral mechanism can be implemented using Solidity and Milkomeda.
2. Perform a market analysis to understand the demand and potential user base for lending and borrowing milkADA and wrapped assets.
3. Conduct user research and gather feedback from potential users to gauge their interest and willingness to participate in the platform.
4. Test the functionality and performance of the new frontend with different browsers and wallet configurations.
5. Conduct a security audit of the smart contracts and address any vulnerabilities or potential risks identified.
6. Create documentation and provide developer resources to make it easier for new developers to understand and contribute to the project.

[CAPABILITY/ FEASIBILITY] Please provide a detailed breakdown of your project’s milestones and each of the main tasks or activities to reach the milestone plus the expected timeline for the delivery.

Milestone 1: Smart Contract Development

• Task 1: Research and study the requirements for lending and borrowing milkADA and wrapped assets on Milkomeda.
• Task 2: Design and write the Solidity smart contracts for lending and borrowing using NFTs as collateral.
• Task 3: Test the smart contracts extensively to ensure they function correctly and securely.
• Expected timeline: 2 weeks

Milestone 2: Frontend Development

• Task 1: Analyze and understand the existing frontend architecture and functionality.
• Task 2: Develop a new frontend that allows users to connect their Metamask wallets and interact with Milkomeda.
• Task 3: Integrate the frontend with the newly developed smart contracts for lending and borrowing.
• Expected timeline: 3 weeks

Milestone 3: Code Audit

• Task 1: Collaborate with external auditors to review the smart contract code for security vulnerabilities and potential exploits.
• Task 2: Implement the recommended changes and fixes based on the audit results.
• Task 3: Repeat the auditing process until the code is deemed secure and reliable.
• Expected timeline: 4 weeks

Milestone 4: Open Source and Collaboration

• Task 1: Prepare the smart contract code and documentation for open sourcing.
• Task 2: Create a public repository and publish the code on a platform like GitHub.
• Task 3: Reach out to the blockchain developer community and actively seek collaborations.
• Expected timeline: 4 weeks

Overall expected timeline for the project: 3 months

[CAPABILITY/ FEASIBILITY] Please describe the deliverables, outputs and intended outcomes of each milestone.

The deliverables, outputs, and intended outcomes of each milestone are as follows:

Milestone 1: Smart Contract Development

Deliverables:

• Research and study report on the requirements for lending and borrowing milkADA and wrapped assets on Milkomeda.
• Solidity smart contracts for lending and borrowing using NFTs as collateral.
• Extensive testing report on the smart contracts' functionality and security.

Outputs:

• Detailed research report.
• Solidity smart contracts code.
• Testing report with results and findings.

Intended Outcomes:

• Understand the requirements for lending and borrowing on Milkomeda.
• Develop secure and reliable smart contracts that facilitate lending and borrowing through NFT collateral.

Milestone 2: Frontend Development

Deliverables:

• Analysis report on the existing frontend architecture and functionality.
• Developed frontend that allows users to connect their Metamask wallets and interact with Milkomeda.
• Integration report on the integration of the frontend with the smart contracts.

Outputs:

• Analysis report on frontend architecture.
• Fully functional frontend interface.
• Integration report.

Intended Outcomes:

• Understand the existing frontend and its functionalities.
• Create a user-friendly and intuitive frontend interface for interacting with Milkomeda.
• Enable users to connect their Metamask wallets and perform lending and borrowing actions.

Milestone 3: Code Audit

Deliverables:

• Audit report from external auditors with security vulnerabilities and potential exploits.
• Implementation report on the recommended changes and fixes based on the audit results.
• Repeated audit reports after each round of changes.

Outputs:

• Audit report from external auditors.
• Implementation report on recommended changes.
• Repeated audit reports.

Intended Outcomes:

• Identify and address security vulnerabilities and potential exploits.
• Improve the security and reliability of the smart contracts through multiple rounds of auditing and implementation of recommended changes.

Milestone 4: Open Source and Collaboration

Deliverables:

• Public repository containing the smart contract code and documentation.
• Documentation on how to contribute to the project.
• Collaborations with the blockchain developer community.

Outputs:

• Public repository on a platform like GitHub.
• Documentation on contributing to the project.
• Active collaborations with the blockchain developer community.

Intended Outcomes:

• Make the smart contract code and documentation accessible to the public.
• Foster an open-source community around the project.
• Benefit from collaborations and contributions from the blockchain developer community.

[RESOURCES & VALUE FOR MONEY] Please provide a detailed budget breakdown of the proposed work and resources.

Budget breakdown:

• Milestone 1: Smart Contract Development - 5000€
• Milestone 2: Frontend Development - 5000€
• Milestone 3: Code Audit - 30000€
• Milestone 4: Marketing - 5000€

Total budget: 45000€

[RESOURCES & VALUE FOR MONEY] How does the cost of the project represent value for money for the Cardano ecosystem?

Cardano will get value by this proposal in different ways:

• Milkomeda dapps for Cardano
• OpenSource code for developers
• Liquidity lending and borrowing on L2
• Marketing of new solutions in the Cardano blockchain

[IMPORTANT NOTE] The Applicant agreed to Fund10 rules and also that data in the Submission Form and other data provided by the project team during the course of the project will be publicly available.

I Accept