Decentralized Governance Smart Contracts: A User-Controlled Future

[GENERAL] Name and surname of main applicant

Andamio Team

[GENERAL] Are you delivering this project as an individual or as an entity (whether formally incorporated or not)

Entity (Incorporated)

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

7

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

No

[GENERAL] Summarize your solution to the problem (200-character limit including spaces)

We will develop and deploy decentralized governance smart contracts, giving users and projects control. These will be open-source, benefiting both Andamio and the broader Cardano developer community.

[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] Please provide here more information on the open source status of your project outputs

All code developed as part of this project will be released as open source, using either the Apache or Mozilla Public license or equivalent open course license. We will not use GPL, LGPL, or derivatives.

[METADATA] Horizons

Developer Tools

[SOLUTION] Please describe your proposed solution

Our proposed solution addresses the issue of centralized governance by developing and deploying decentralized governance smart contracts. We recognize the growing need for autonomy and transparency within decentralized platforms and aim to empower users and projects to take control of their governance structures.

One key problem we are solving is the lack of structured, well-documented resources related to governance smart contracts. Current solutions, such as those discussed in the Intersect governance working groups, are often focused on off-chain governance or conceptual frameworks. While valuable, these discussions lack practical on-chain implementations. Our approach directly addresses this gap by offering a complete set of open-source, ready-to-deploy governance smart contracts. These contracts will be fully documented with best practices, developer guides, common pitfalls, and techniques, making it easy for projects and developers to adopt and integrate them.

Our project will engage developers and project teams in the Cardano ecosystem who are looking for practical, tested governance solutions. By building a structured, user-friendly suite of governance tools, we enable projects to quickly decentralize their decision-making processes. We also plan to use the Andamio platform as a live case study, demonstrating the transition to decentralized governance and teaching developers how to implement and customize these smart contracts for their needs.

The uniqueness of our solution lies in its practical approach to solving both governance and developer challenges. While most governance systems focus on theoretical discussions or off-chain solutions, we bring governance on-chain. We’ll not only test various governance systems proposed by governance groups like Intersect but also explore their limitations and scalability. This iterative process ensures that our solutions are adaptable to different communities, societies, and projects.

To demonstrate our impact, we will track adoption metrics, usage statistics, and developer engagement through Andamio’s platform and within the broader Cardano ecosystem. Additionally, by open-sourcing the code and documentation, we ensure the wider community can benefit from our work. This provides a long-term benefit to Cardano, as developers and project teams will have access to high-quality governance tools, fostering innovation and further decentralization within the ecosystem.

Our solution is important for Cardano because it supports the ongoing evolution toward decentralized governance, which is a core principle of blockchain technology. By providing the necessary tools to implement on-chain governance, we not only advance the Cardano ecosystem but also create a foundation for more resilient, self-governed projects.

[IMPACT] Please define the positive impact your project will have on the wider Cardano community

Our project will deliver long-awaited, seamless decentralized governance smart contracts that are open-source, well-documented, and easy to integrate, empowering developers, project teams, and communities to manage their governance processes inherently and fostering a decentralized and resilient Cardano ecosystem. Pilot implementations of governance models will help the ecosystem better understand how different governance systems function on-chain, creating valuable knowledge from an ecosystem perspective. Upon successful completion, this initiative will develop tools that the broader Cardano community can easily adopt, promoting more projects to enact decentralized governance. The more decentralized governance is embraced, the more autonomous and resilient the Cardano network will become, aligning with the core principles of blockchain technology, especially during its governance phase and the Voltaire era, where on-chain governance solutions are crucial to achieving its overall objectives.

To measure performance, we will track the following both quantitative and qualitative metrics.

1- Quantitative metrics

• Adoption Rate: We will measure the number of projects using our governance smart contracts and the number of developers using it.
• User Engagement: We will measure engagement by the number of programmers on the Andamio platform interacting with our educational content, including workshops, live coding sessions, and documentation consumption.
• Contributions: We will quantify the number of contributions going into the open-source repository and any forks or adaptations of the contracts for other projects.

2- Qualitative metrics

• Feedback from Projects: We will be gathering feedback from teams and communities using those smart contracts about their experience, problems encountered, and improvements needed.
• Assessment of Governance Model: We shall assess how different governance models perform when put to the test, determining which are the most effective systems for differing types of projects and communities.

We will transparently share all outputs from our project with the Cardano community:

• Open-Source Repository: All codes for the governance smart contracts will be placed on GitHub, allowing developers and projects to access, contribute to, and modify the contracts easily.
• Documentation: GitHub and the Andamio platform will contain plenty of documentation: guides, tutorials, and pitfalls.
• Educational Content: Live coding sessions, workshops, and tutorials will be hosted on the Andamio platform to help developers understand how to implement and customize the governance contracts.
• Community Engagement: Updates, case studies, and lessons learned will be shared via Cardano forums, social media channels, and developer groups so that the knowledge spreads across the ecosystem.

With these outputs, we intend to generate long-lasting value for the Cardano community by empowering developers and projects to build sustainable decentralized governance structures in line with Cardano's future vision.

[CAPABILITY & FEASIBILITY] What is your capability to deliver your project with high levels of trust and accountability? How do you intend to validate if your approach is feasible?

Our team's capability to deliver this project with high levels of trust and accountability is grounded in our extensive experience in blockchain technology, software development, and educational technology. We have a proven track record of delivering complex projects on time and within budget, ensuring transparency and stakeholder engagement throughout the project lifecycle.

Team Expertise:

• Our core team includes blockchain developers who have previously worked on successful Cardano projects, educational technologists with experience in digital credentialing systems, and project managers skilled in agile methodologies.
• We have previously collaborated on projects that involved complex stakeholder environments in educational settings.

Validation of Approach:

• Feasibility Studies: Before launching the project, we will conduct feasibility studies that include technical assessments and pilot testing with a mock setup to ensure that the proposed technology solutions are practical and effective.

Trust and Accountability Measures:

• Regular Stakeholder Updates: Stakeholders will receive regular updates on project progress, including milestones reached, issues encountered, and adjustments made. These updates will be supplemented by open Q&A sessions and community presentations at Gimbalabs Playground and After Town Hall breakout sessions

Community Engagement and Feedback:

• We plan to actively engage with the Cardano community through forums, workshops, and social media to gather feedback and refine our approach based on community insights.

By combining our technical expertise, proven project management practices, and commitment to transparency and community engagement, we are uniquely positioned to deliver this project successfully, validating our approach and ensuring that it contributes positively to the Cardano ecosystem.

[PROJECT MILESTONES] What are the key milestones you need to achieve in order to complete your project successfully?

Title: Research & Development of Initial Governance Model

Duration: 2 months

Milestone Outputs:

• R&D and development of the smart contracts for the tug-of-war governance models.
• The model will include relevant versions (e.g., Tug of War may have permissionless/non-custodial and oracle-based versions).
• Technical documentation for the model.

Acceptance Criteria:

• Initial smart contract drafts for the tug-of-war model, with the relevant versions where applicable.
• Technical documentation detailing the design, use cases, and limitations of the model.

Evidence of Completion:

1. Published smart contracts for tug-of-war on a public GitHub repository.
2. Accompanying documentation available on GitHub or Andamio, explaining the implementation and usage of the model.

Title: Development of Additional Governance Model & DID Integration

Duration: 2 months

Milestone Outputs:

• Development of the Consent Decision-Making governance model.
• Integration of decentralized identity (DID) for voter registration and voting in the model.
• Documentation on voter registration and voting through DID.

Acceptance Criteria:

• Smart contracts for Consent Decision-Making and including DID integration.
• Functional DID-based voting system, tested on testnet.

Evidence of Completion:

1. Smart contracts for the Consent Decision-Making model published on GitHub.
2. Documentation and guides on the DID-based voting system.
3. Successful testnet deployment logs showing functional DID integration.

Title: Community Outreach and Development of the Third Governance Model

Duration: 2 months

Milestone Outputs:

• Community engagement to gather feedback and requests for the development of a new governance model.
• R&D and development of a third governance model based on community needs and feedback.
• Documentation for the newly developed model.

Acceptance Criteria:

• Completion of community outreach, collecting data and input from at least three Cardano projects or communities.
• Development of the third governance model based on the most requested community governance needs.

Evidence of Completion:

1. Survey results or discussion summaries from the community engagement process.
2. Published smart contracts and documentation for the new governance model.

Title: Testing, Finalization & Open-Source Release

Duration: 1 month

Milestone Outputs:

• Comprehensive testing of all three governance models, including any off-chain components required for testing.
• Optimization and finalization of all models, including documentation.
• Open-source release of all governance models and tools on GitHub.

Acceptance Criteria:

• Successful testnet deployment of all models, with test results verifying their functionality and security.
• Finalized documentation, including best practices and implementation guides.
• Positive community feedback and adoption interest.

Evidence of Completion:

1. Testnet logs showing successful tests of all governance models.
2. Published final code and documentation on GitHub.
3. Community testimonials or case studies showing projects adopting or expressing interest in the models.

Title: Final Evaluation and Project Closure

Duration: 1 month

Milestone outputs:

• Final evaluation of project outcomes
• Comprehensive project closure report
• Presentation of the project closure report to the Cardano community
• Closeout Video of the completed project for Catalyst town hall, highlighting the achievements, impact, and lessons learned throughout the project.

Acceptance criteria:

• Comprehensive project closeout report and a closeout video with key findings, lessons learned, and recommendations.

Evidence of milestone completion:

1. Presentation of the project Closeout Report and the Closeout Video to the Cardano community
2. A detailed closeout report link, accessible to reviewers, and the Closeout Video link

[RESOURCES] Who is in the project team and what are their roles?

James Dunseith – Blockchain Education Specialist & Project Lead

Linkedin | Twitter

James is an experienced educator, coach, and blockchain facilitator with a strong background in designing immersive learning experiences. He has been at the forefront of integrating student-centered and project-based learning models both in traditional classrooms and ed-tech startups. As a co-founder of Gimbalabs, James contributes to writing educational content, developing governance frameworks, and fostering open community engagement. With a deep passion for decentralized learning, James leverages his expertise in learning design and blockchain governance to drive the success of this project.

Nelson Kshetrimayum – Fullstack Blockchain Developer & Researcher

Twitter | Github

Nelson is a dedicated Cardano developer with a unique interdisciplinary background in physics and computer science. Starting his blockchain journey at Gimbalabs, he played a key role in developing the prototype for a Cardano-native Learning Management System. His work combines his scientific expertise with a passion for blockchain technology, focusing on improving education and scientific research through decentralized solutions. Nelson is also a strong advocate for open-source software and is committed to contributing to the evolution of Cardano as a leading blockchain platform.

Adrian Huetter - Senior Plutus Smart Contract Developer

Github

Adrian transitioned from civil engineering to blockchain development, teaching himself programming and mastering Plutus smart contracts. A member of the first cohort of the Plutus Pioneer Program, Adrian soon joined Gimbalabs, where he became a key contributor in advancing the use of smart contracts on Cardano. His technical expertise and commitment to open-source development empower him to explore innovative use cases for Plutus, aiming to build decentralized tools for small communities.

M. Ali Modiri – Blockchain Security Analyst & Smart Contract Specialist 

LinkedIn | Twitter | GitHub

Ali brings a diverse skill set, merging his background in mechatronics, cybersecurity, and blockchain. A former malware analyst and penetration tester, he excels in identifying and mitigating digital threats. Ali’s programming expertise spans from low-level languages like Assembly and C to high-level languages such as Golang and JavaScript. As a specialist in Plutus smart contract development, Ali is an active contributor to the Cardano community, notably as a member of the Cardano Certification Group and author of CIP 96. His focus is on advancing blockchain security and helping humanity through technological innovation.

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Engagement and Capacity

All team members have been fully engaged and have committed their time and expertise to the project. Preliminary discussions and role allocations have been confirmed, ensuring each member is prepared and available to start as soon as the project is funded.

Consent and Disclosure

All team members have consented to their involvement and the disclosure of their roles as described in this proposal. We understand the importance of transparency and accountability, especially in projects funded through Catalyst, and have taken the necessary steps to ensure all participation is compliant with the requirements.

[BUDGET & COSTS] Please provide a cost breakdown of the proposed work and resources

Milestone 1:

Expected cost: 35,000 ₳

Resources needed:

• Developers:
• Smart contract developer: 2 (122 ADA hourly, 60 hours) [14,640 ₳]
• Research & design specialist: 1 (90 ADA hourly, 40 hours) [3,600 ₳]
• Services:
• Code audit for initial versions: [5,000 ₳]
• Documentation:
• Technical writer: 1 (60 ADA hourly, 30 hours) [1,800 ₳]
• Community Engagement:
• Outreach to gather initial feedback: [2,000 ₳]
• Testing & Deployment:
• Testnet deployment fees: [2,000 ₳]
• Off-chain testing tools: [3,960 ₳]
• Project Management:
• Project manager: 1 (100 ADA hourly, 20 hours) [2,000 ₳]

Milestone 2:

Expected cost: 51,720 ₳

Resources needed:

• Developers:
• Smart contract developer: 2 (122 ADA hourly, 80 hours) [19,520 ₳]
• DID integration specialist: 1 (110 ADA hourly, 40 hours) [4,400 ₳]
• Services:
• DID integration testing: [6,000 ₳]
• Code audit: [5,000 ₳]
• Documentation:
• Technical writer: 1 (60 ADA hourly, 30 hours) [1,800 ₳]
• Community Engagement:
• Community education (DID system & its importance): [2,500 ₳]
• Testing & Deployment:
• Testnet deployment fees: [2,000 ₳]
• Off-chain testing tools: [4,000 ₳]
• Marketing & Outreach:
• Promotional materials for the DID implementation: [3,500 ₳]
• Project Management:
• Project manager: 1 (100 ADA hourly, 30 hours) [3,000 ₳]

Milestone 3:

Expected cost: 39,040 ₳

Resources needed:

• Developers:
• Smart contract developer: 2 (122 ADA hourly, 60 hours) [14,640 ₳]
• Research specialist for community model: 1 (90 ADA hourly, 50 hours) [4,500 ₳]
• Services:
• Code audit for community-requested model: [5,000 ₳]
• Community Engagement:
• Surveys and outreach to gather feedback from 3 communities: [2,500 ₳]
• Feedback sessions and discussions: [3,000 ₳]
• Documentation:
• Technical writer: 1 (60 ADA hourly, 40 hours) [2,400 ₳]
• Marketing & Outreach:
• Promotional materials and outreach for the community model: [5,000 ₳]
• Project Management:
• Project manager: 1 (100 ADA hourly, 20 hours) [2,000 ₳]

Milestone 4:

Expected cost: 47,980 ₳

Resources needed:

• Developers:
• Smart contract developer: 2 (122 ADA hourly, 70 hours) [17,080 ₳]
• Testing & optimization specialist: 1 (110 ADA hourly, 40 hours) [4,400 ₳]
• Services:
• Final code audit: [6,000 ₳]
• Hosting for documentation and tutorials on Andamio: [5,000 ₳]
• Documentation:
• Technical writer: 1 (60 ADA hourly, 50 hours) [3,000 ₳]
• Marketing & Outreach:
• Promotional campaign for open-source release: [6,500 ₳]
• Videos and tutorials for final deployment: [3,000 ₳]
• Project Management:
• Project manager: 1 (100 ADA hourly, 30 hours) [3,000 ₳]

Final Milestone:

Expected cost: 11,600 ₳

Resources needed:

• Documentation and Report: [1000 ₳]
• Closeout video production and community presentation [5,600 ₳]
• Townhall Presentation and Engagements [5,000 ₳]

Notice: All ADA prices are calculated from USD with a ₳ price of 0.35$ as a worst-case scenario. The exact hours and calculations can be seen in our budget. A contingency fund of 14,660 ₳ is included to cover any unforeseen expenses or adjustments during the project lifecycle, ensuring flexibility and risk management.

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

The requested budget of 200,000 ₳ provides substantial value to the Cardano ecosystem through the development of governance-specific smart contracts, open-source releases, and extensive documentation, all aimed at fostering further innovation and decentralization.

Supporting Decentralization and Governance Innovation:

• By delivering two governance models plus a community-requested model, we offer a diverse set of tools that projects across the Cardano ecosystem can readily adopt. These models cover multiple governance structures, enabling flexibility for different use cases. The inclusion of DID-based voter registration and voting adds further value by enhancing identity verification in decentralized systems. This foundational work benefits the entire community as it lowers the barrier to implementing sophisticated governance mechanisms on-chain.

Open Source Contribution:

• All smart contracts, documentation, and educational resources will be made open-source. This approach amplifies the impact of the project beyond just the Andamio platform, enabling other developers, projects, and communities to freely utilize, modify, and build upon these governance systems. The lasting nature of this contribution provides long-term value for the Cardano ecosystem at a one-time cost.

Costs Aligned with Industry Standards:

• The costs for smart contract developers, DID specialists, and technical writers have been set based on industry averages within the blockchain sector. Smart contract development is a highly specialized field, and our rate of 122₳ (42.7 USD) per hour for developers is significantly lower than the typical freelance rates in the crypto industry, which generally range from $70 to $150 per hour. These rates are also aligned with the average wage in regions with a strong blockchain presence.

Community Engagement & Marketing:

• A portion of the budget is allocated to community engagement, as the models we develop are intended to meet the practical needs of projects within the ecosystem. Ensuring the Cardano community is involved at every step of development, including feedback on the governance models, guarantees that the solutions created are valuable and usable. Additionally, our marketing and outreach efforts will ensure widespread adoption of the tools we create, benefiting as many projects as possible.

High-Quality Auditing & Security:

• A portion of the budget is set aside for third-party code audits, ensuring that the governance models we develop are secure and meet industry standards. Given the critical role smart contracts play in decentralized systems, these audits are essential to avoid costly vulnerabilities down the road. The upfront investment in security delivers significant value for the ecosystem by reducing risk.

Comprehensive Testing:

• Each milestone includes thorough testing phases, ensuring that the models function as intended in real-world conditions. These tests, along with off-chain simulation tools, will provide essential data and build trust in the governance mechanisms. This level of testing justifies the associated costs, as it mitigates potential future issues that could result in governance failures or security breaches.

Educational Value:

• Beyond the immediate technical output, the documentation, live coding sessions, and tutorials will serve as educational resources for the wider Cardano developer community. These materials will empower other developers to adopt, customize, and deploy these governance models, thus extending the long-term value far beyond the life of this project.

So the cost of this project is a prudent investment that offers not only technical innovation but also educational and security benefits. It aligns with industry norms while providing substantial, long-term value to the Cardano ecosystem through decentralization, governance innovation, and the open-source availability of all resources.