[KOET] Decentralized Platform for Auctioning Tangible Assets Using Cardano Layer-2 Hydra: A Real-World Application for Auctioning Vietnam's State-Owned Assets

[GENERAL] Name and surname of main applicant

Le Minh Tuan

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

Entity (Incorporated)

[GENERAL] Co-proposers and additional applicants

📌Ms. Do Thi Hong Hanh

🍀Title & Experience

• CEO & Co-Founder at Lac Viet Auction House.
• Vietnam Government-authorized and Certified Auctioneer since 2007.
• Author of the patented Auction Platform

🍀Contact Point

• Facebook: https://www.facebook.com/hong.hanh.16547
• Email: hanh.do@lacvietauction.vn

🍀Role: Business Development Manager

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

6

[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)

Create a user-friendly decentralized platform with Hydra and Atala Prism for auctioning assets. Offer educational content and incentives to engage users and boost real-world cryptocurrency adoption.

[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

Yes, it works under the GNU General Public License (GPL) v3.0 License.

[METADATA] Horizons

E-commerce

[SOLUTION] Please describe your proposed solution

📌Core Problems

Our team's objective is to expand accessibility to Web3 in Vietnam by building on-chain applications that are more intuitive and user-friendly for the broader public. While we aim to enhance the overall experience for everyday users, our broader mission is to catalyze the widespread adoption of blockchain technology and ignite innovation across various industries, focusing on Cardano and the auction industry. Some of the core problems we aim to address include:

🍀Mass adoption and real-world usage

For Cardano blockchain technology to gain mass adoption and real-world usage on a global scale, two key factors are essential:

• First, there must be on-chain applications that provide genuine value to people's everyday lives. These applications should solve real-world problems.
• Second, accessibility is crucial. People need to easily understand and use these applications, without the complexities typically associated with blockchain. The user experience must be seamless, intuitive, and integrated into the tools and devices they already use, ensuring that blockchain's potential is accessible to everyone, not just tech enthusiasts.

With these two factors, Cardano can become a transformative force in industries and communities worldwide.

🍀Auction Fraud

According to scientific research, the auction industry is facing the following main problems that need to be solved:

• Auction fraud - more than 70% of bidders often worry that they aren’t paying a fair price and the result was cheated.
• Auction results depend on the auctioneer and auction house’s reputation.

🍀Deposit Requirements in Auctions

Deposit requirements are a common practice in English-style auctions to ensure that the winning bidder fulfills their obligation to purchase the item. However, they can also introduce two common problems:

• Lack of Transparency - Auction houses may not provide full transparency regarding how deposits are handled, leading to concerns about fairness and trust.
• Refund Complexities - Refund processes are often cumbersome, with delays in returning deposits to unsuccessful bidders, which can cause frustration among participants.

🍀Legal and Regulatory Compliance

• Ensure that Participants and the platform comply with relevant laws and regulations, including KYC/AML requirements, data protection regulations, and auction-specific law as prescribed in here.

📌Our Vision and Mission

Our Vision

The decentralized Auction House platform envisions a future where the auction industry is fundamentally fairer and more accessible, redefining how digital and tangible assets are bought and sold. We aim to create a transparent, efficient, secure, and community-driven ecosystem that benefits all participants: sellers, buyers, auction houses, and DeFi partners alike.

Our Mission

To revolutionize the auction industry by integrating blockchain technology and utilizing DEFI to create a transparent, open, efficient, and accessible platform that redefines how assets are bought and sold.

📌Proposed Solution

To address these issues, we propose a next-generation auctioning platform grounded on these four pillars. Each pillar encompasses a suite of solutions that synergize to attain a specific objective:

1. System solution

2. Business solution

3. Accelerating adoption of the Decentralized Auction platform and Cardano

4. Legal and Regulatory Compliance

In the proposal in Fund 13, we requested funds to build an MVP on Hydra, the Layer-2 of Cardano, and use Atala Prism for issuing DIDs (decentralized identifiers) and verifiable credentials in a Real-World use case: Auctioning Vietname State-owned Tangible Assets. The dApp is not only the first step towards real-world mass adoption but also a dApp that leverages unique features only possible on Cardano.

🍀System solution

By integrating smart contracts built on Cardano's Layer 2 Hydra and Atala PRISM into our existing auction platform, the identity of the bidder or winning bidder remains anonymous to everyone while still ensuring that participants and the decentralized auction platform comply with local laws and regulations, including KYC/AML requirements, data protection regulations, and auction-specific laws as prescribed.

Transaction results for auctions are stored on the Cardano Layer-1 blockchain. Smart contracts automatically determine the winning bidder, ensuring the results cannot be manipulated.

🍀Business solution

The objective of this solution is to bring more users to the Cardano blockchain ecosystem through a real-world use case on the decentralized auction platform and to keep them engaged for a longer period.

• New user onboarding:

Let's start with a simplified O2O ( online to offline and offline to online) user journey as below figure.

1. We can acquire new users through both:
2. Online marketing (Google search ads, Facebook ads, mobile app downloads) and offline events (auction houses, partner coffee shops).
3. Additionally, we can incentivize non-crypto users on our Web 2 platform to adopt cryptocurrency.
4. According to Vietnamese asset auction law, account registration and bidding deposit are required for state-owned asset auctions. Bidders must use FIAT (VND) for the eligibility bidding deposit, but they are encouraged to deposit additional ADA to earn exclusive benefits.
5. The identity of the bidder or winning bidder remains anonymous to everyone while still ensuring that the decentralized auction platform complies with local laws and regulations. This is powered by Atala Prism. A Cardano-based wallet will be created and integrated into the existing platform during account registration. The wallet address will be used for receiving deposit refunds or earning rewards.
6. Bidders must deposit 5% to 20% of the auctioned asset's value (2-4 weeks in advance) to be eligible to bid. We accept ADA as an additional deposit alongside FIAT (VND) to ensure compliance with local law. The ADA will be locked and staked to earn interest. Since the price of state-owned assets is typically very high (millions of USD), earning interest becomes one of the platform's main revenue streams, in addition to bidding transaction fees. This contributes to the growth of Cardano's TVL and transaction volume.
7. Audited smart contracts will determine the winning bidder, and the bidding transaction results will be stored on the Cardano blockchain for transparency and security. The contracts will also send deposit refunds to the wallets of unsuccessful bidders.
8. State-owned assets will be delivered to the winning bidder by one of our partners (the auction houses) through a traditional process.

• User engagement:

We proposed the Bid-to-Earn model with ATK token to encourage bidders to use ADA for bidding deposits instead of using FIAT. It also brings new users and converts existing non-crypto users to crypto users via a rewarding program as the following figure.

The Cardano blockchain-based smart contracts auction platform operates as a generated sales for auction houses ( Partners). The partners will pay a sale commission when the platform finds a successful bidder ( winner). The auction platform takes a small part of the sales commission ( 1 to 10%), the remaining will be converted to the ADA and then rewarded to the winner's wallet & newly registered users' wallet. It encourages existing non-crypto users to create new Cardano-based wallets to receive ADA.

The platform also on behalf of the Auction houses takes bidding deposits, one of the advantages of using ADA instead of FIAT for bidding deposits is the bidder's earning interest via the platform's staking pool. Traditionally, the bidder had to deposit 20% in FIAT ( 2-4 weeks in advance) of the price of the auctioning assets to a locked bank account to be eligible for bidding. There is no interest and the process to return the deposit is time-consuming.

🍀Legal & Regulatory Compliance

Using Atala Prism for issuing DIDs (decentralized identifiers) and verifiable credentials in a Real-World use case: Auctioning Vietname State-owned Tangible Assets.

🍀Solution for Decentralized Auction platform and Cardano blockchain adoption

Partnership with the top local and international Auction Houses

• Our team is working closely with strategic partners such as Lac Viet Auction House and Milton Auction House to introduce the benefits of the new decentralized auction platform and blockchain, particularly Cardano, to their user base. The agreements and images from the signing ceremony with the two strategic auction houses can be found at this link.
• Tutorials and Guides
• Providing comprehensive tutorials, guides, and FAQs helps their users understand how to use the platform effectively, from setting up a wallet to participating in auctions.
• Webinars and Workshops
• Hosting webinars and workshops on topics related to auction and blockchain technology to educate their users and enhance their engagement.

Industry-Academic Partnership

• Collaborating with top local tech universities such as Hanoi University of Science & Technology, Da Nang University of Science & Technology, FPT University, and Hanoi Open University to foster innovation and strengthen collaboration between academia and industry. Upcoming activities include an MOU agreement to publish joint research papers, case studies, and whitepapers on the application of blockchain in the auction industry. The official confirmation of the partnership between us (KOET Co., Ltd and Lac Viet Auction House) and the four top local tech universities can be requested via email tuan.le@koet.com.vn

Legal and Regulatory Compliance Studies

• Actively collaborating with law schools and legal research centers under the Ministry of Justice to study and address the legal and regulatory challenges in the auction industry, particularly those related to blockchain technology. Training videos and publications can requested via email tuan.le@koet.com.vn

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

📌Unique Value Proposition

Integrating Cardano blockchain technology into an auction platform is expected to be a game-changer in the Vietnam auction industry. It offers several benefits for both the Cardano community and the Auction Industry via the proposed real-world use case: Auctioning Vietname State-Owned Tangible Assets.

🍀Real-world usage showcase

• This on-chain application provides genuine value to people's everyday lives and solves real-world problems.
• By solving these real-world problems for the Vietnamese government, blockchain technology can become a transformative force in the Auction industry and communities, accelerating the adoption of blockchain technology in Vietnam.

🍀Contributes to the growth of Cardano

• The proposed innovative Bid-to-Earn model goes beyond benefiting bidders. Bidders must deposit a minimum amount of FIAT (VND) to ensure compliance with local laws. We also accept ADA as an additional deposit to remain eligible to participate in the auction of the assets. Since the price of state-owned assets is typically very high (usually in the millions of USD), the amount of ADA locked into smart contracts and staked to our SPO will be significant. This contributes to the growth of Cardano’s TVL(Total Value Locked), increases transaction volume, and helps secure the network.

🍀Only possible on the Cardano

• We implemented a Binance Smart Chain-based MVP (minimum viable product), but it poses several technical challenges, especially when used in real-world applications, as mentioned in the System Solution section. By integrating smart contracts built on Cardano's Layer 2 Hydra and Atala PRISM into our existing auction platform, we can address these issues. This is a great showcase of Cardano’s advancements over other platforms.

🍀Mass adoption through strategic partnerships

• Partnership with the top local and international Auction Houses
• We aim to convert non-crypto users into crypto users by partnering with Lac Viet and Milton Auction Houses to showcase the benefits of the new decentralized auction platform built on Cardano. Through tutorials, guides, and workshops, we educate and incentivize their users to use the platform and understand the value of blockchain technology, promoting transparency, security, and engagement.
• Industry -Academic Partnership

1. KOET partnered with Auction Houses in 2019 to transform the industry with a long-term vision and a clear roadmap. For sustained growth, we are transitioning from SaaS to a decentralized model, focusing on R&D to maintain our position in the local market. To achieve this, we are conducting joint research with top tech universities, bringing value to both the Cardano community and our future. Our contribution to the Cardano community includes research papers published in well-known journals or presented at conferences.

📌Success Metrics

To assess the effectiveness of the project and maximize its impact on the Cardano ecosystem and community in Vietnam, we will focus on the following key metrics:

🍀Product Development and Quality

• CSAT (Customer Satisfaction Score) measures product quality based on customer feedback, typically using a rating scale. Higher scores indicate better satisfaction, making it a quick indicator of how well the product meets customer expectations.
• Timely Delivery – Confirms the product is delivered as planned.

🍀Contributes to the growth of Cardano

• Accumulated Total Value Locked (TVL): tracks the total value of assets deposited in the Auction platform over time, showing its long-term growth and usage. It's a key metric for measuring a platform's popularity and trust.
• Number of non-crypto users converted to crypto users: metric measures how many individuals, who previously had no experience or involvement with cryptocurrency, have been successfully transitioned into active crypto users. This metric is important for tracking user adoption and growth within the crypto space, indicating the success of efforts aimed at onboarding new users into the ecosystem.
• Training and Demo Attendance: Measuring the level of interest in the new auction platform.

🍀Contributes to the long-term growth

• Research Collaboration Metric: Measures the number of research papers published through industry-academic collaboration.

[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?

📌Capability Overview

We are a tech startup named KOET, leading the digital transformation of the Vietnamese auction industry. Our Web 2.0 SaaS ( Software as a Service) auction product currently serves 22 partners, including our strategic partner, Lac Viet Auction House - the first government-authorized auction house in Vietnam. Since 2019, we have been a trusted partner of Lac Viet Auction House, assisting them in selling state-owned assets through our online auction platform on behalf of the Vietnamese government.

🍀Below is a glance at the centralized platform

• Number of successful online auctions: 1.598
• State-owned assets: 73%
• Other assets: 17%
• Number of registered active users: 81.268
• An offline-to-online auction event in partnership with Lac Viet Auction House.

📌Experiences

We have an experienced core team with expertise in digital transformation, the Cardano blockchain, the auction industry, public relations, software development, and fund management, all with a proven track record of success.

🍀Case 1: Digital Transformation for Auction Houses

Vietnam recently approved the National Digital Transformation Programme by 2025, with an orientation towards 2030. The National Programme prioritizes 8 different sectors for this digital transformation, auction industry is one of the most promising areas in the e-Commerce sector. Digital transformation is a must-have battle for auction houses, it helps them keep up with emerging customer demands and therefore survive in the face of the future.

Since 2019, Lac Viet Auction House, the local market leader and owner of Vietnam's first patented and government-authorized auction platform, has been selling state-owned assets through our online auction platform on behalf of the Vietnamese government.

On Dec 01, 2021, KOET and Lac Viet Auction House signed a strategic agreement to establish a strategic partnership. We outlined a clear roadmap and long-term vision.

On Apr 19, 2024, We established a relationship with Millon, a well-known global auction house from France, through our strategic partner. The agreement and images from the signing ceremony can be found at the following link.

• https://web3.koet.com.vn/MillonVideo
• https://web3.koet.com.vn/MillonPhotos

🍀Case 2: Binance Smart Chain-based auction dApp

On Aug 8, 2023, we launched the first blockchain-based platform in Vietnam for auctioning tangible assets. It made a buzz and was widely broadcast on VTV1, the most popular channel in Vietnam, operated by VTV, the national broadcaster.

• The 02 apartment buildings have successfully been sold via the system.
• The 02 Vietnam state-owned used cars have successfully been sold via the blockchain system.
• Press release: https://web3.koet.com.vn/Press
• Guidelines for Web3 users https://web3.koet.com.vn/Guideline

Tangible and state-owned assets have been successfully sold via the auction platform. On-chain tracking can be found at the following link:

• https://web3.koet.com.vn/RealEstate356B12
• https://web3.koet.com.vn/UsedCar
• https://web3.koet.com.vn/UsedCarToyota
• https://web3.koet.com.vn/EcoLakeApartmentBuilding

Performance Statistics

• Number of participants: 105 (115% above KPI)
• Number of assets sold via platform: 4 (200% above KPI).

🍀Case 3: Contributes to the growth of Cardano

• Catalyst Project proposer in Fund 8, 9, 10, 11, 12 and now 13.
• CR in Fund 8, 9, 10 and 11.
• Closed out 100% funded project and brought over 10,065 new users into the Cardano blockchain ( 101% above KPI).
• Contribute to the operation of the VILAI Cardano Stake Pool.

There is no high-quality, useful auctioning application in the Cardano ecosystem. In our proposal for Fund 13, we requested funds to build an MVP on Hydra, Cardano's Layer-2, and to use Atala Prism for issuing DIDs (decentralized identifiers) and verifiable credentials in a real-world use case: auctioning Vietnam's state-owned tangible assets. This dApp is not only a first step toward real-world mass adoption but also leverages unique features only possible on Cardano.

🍀Case 4: The latest Auction Event by Millon Auction House in partnership with our team.

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

Our long-term goal is to revolutionize the auction industry by integrating blockchain technology to create a decentralized platform that is transparent, efficient, secure, open, accessible, and community-driven. This new platform will redefine how assets are bought and sold.

In this proposal, we requested funds to build an MVP on Hydra, Cardano's Layer-2, and to use Atala Prism for issuing DIDs (decentralized identifiers) and verifiable credentials in a real-world use case: auctioning Vietnam's state-owned tangible assets. This dApp is not only a first step toward Cardano's and our long-term goal of real-world mass adoption but also leverages unique features only possible on Cardano.

To achieve project success, we emphasize a user-centric experience and community engagement approach. Our goal is to develop a user-friendly, intuitive, and decentralized auction platform that prioritizes the user experience while fostering a strong, active community. Our development strategy focuses on aligning the platform with the needs and preferences of its users, leveraging their feedback to continuously improve and evolve the platform. Our development methodology is outlined below.

📌Milestone 1: Requirements Gathering ( 1 month)

Cost of Milestone 1: 17.5% of Total Budget = 19,500 ADA

All elements of the scope will be clarified, and we will gather the data required to begin the design and build. This will include processes, data requirements, and more.

🍀Milestone outputs

1. Scope Definition Document: A detailed document outlining the project's boundaries, objectives, and deliverables.
2. Requirements Traceability Matrix (RTM): A table linking requirements to design elements, test cases, and other project artifacts.
3. Data Dictionary: A comprehensive list of all data elements used in the project, including definitions, data types, and sources.
4. Process Flow Diagrams: Visual representations of the key business processes to be supported by the system.
5. Stakeholder Interviews and Meeting Notes: Documentation of interactions with stakeholders to capture their requirements and feedback.

🍀Acceptance criteria

1. Scope Definition Document is approved by all relevant stakeholders.
2. Requirements Traceability Matrix (RTM) is complete and accurate, linking all identified requirements to project artifacts.
3. Data Dictionary is comprehensive and includes all necessary data elements.
4. Process Flow Diagrams accurately represent the target business processes.
5. Stakeholder Interviews and Meeting Notes reflect a thorough understanding of stakeholder needs and expectations.

🍀Evidence of milestone completion

1. Approved Scope Definition Document
2. Completed and Accurate RTM
3. Comprehensive Data Dictionary
4. Finalized Process Flow Diagrams
5. Minutes from Stakeholder Meetings and Interviews
6. Project Management Tools (e.g., Microsoft Planner, Trello, Asana) showing completed tasks and deliverables.

📌Milestone 2: Design and Requirements Sign-Off ( 1 month)

Cost of Milestone 2: 5.4% of Total Budget = 6,000 ADA

🍀Milestone outputs

1. Detailed System Design Document: A comprehensive document outlining the proposed system architecture, components, interfaces, and data flows.
2. User Interface (UI) Prototypes: Interactive mockups of the system's user interface, demonstrating the visual design and functionality.
3. Data Model: A detailed representation of the data structure and relationships within the system.
4. Technical Specifications: Detailed specifications for hardware, software, and other technical components.
5. Risk Assessment Matrix: An evaluation of potential risks and mitigation strategies.
6. Signed-Off Requirements Document: The original requirements document is updated and approved by all stakeholders.

🍀Acceptance criteria

1. Detailed System Design Document is complete and accurate, addressing all identified requirements.
2. UI Prototypes accurately reflect the design specifications and user needs.
3. Data Model is consistent with the requirements and supports the system's functionality.
4. Technical Specifications are detailed and align with the design.
5. Risk Assessment Matrix identifies and addresses potential risks.
6. Signed-Off Requirements Document is approved by all stakeholders.

🍀Evidence of milestone completion

1. Approved Detailed System Design Document
2. Finalized UI Prototypes
3. Complete and Accurate Data Model
4. Approved Technical Specifications
5. Signed-Off Risk Assessment Matrix
6. Signed-Off Requirements Document
7. Project Management Tools (e.g., Microsoft Planner, Trello, Asana) showing completed tasks and deliverables.

📌Milestone 3: Front-End Build ( 1 month)

Cost of Milestone 3: 20.2% of Total Budget = 22,500 ADA

This is one of the largest parts of the project getting front-end work.

🍀Milestone outputs

1. iOS Mobile App (Version 1.0): A fully functional iOS mobile application with core auction features, a user-friendly interface, and integration with the back-end system.
2. Android Mobile App (Version 1.0): A fully functional Android mobile application with core auction features, a user-friendly interface, and integration with the back-end system.
3. Responsive Project Website: A fully responsive website that adapts to different screen sizes (desktop, tablet, and mobile) with core features, including user registration, auction listings, and bidding functionality.

🍀Acceptance criteria

1. iOS Mobile App: The iOS app is fully functional and passes all internal testing for core features, such as browsing auctions, placing bids, and user account management. The app is uploaded to the Apple App Store for internal or beta testing.
2. Android Mobile App: The Android app is fully functional and passes all internal testing for core features. The app is uploaded to the Google Play Store for internal or beta testing.
3. Responsive Project Website: The website is fully responsive across all devices (desktop, tablet, mobile) and passes usability testing. Core features such as user registration, auction browsing, and bidding are operational.

🍀Evidence of milestone completion

1. Mobile Apps (iOS and Android)
2. Signed-off versions of the iOS and Android apps are available for internal or beta testing.
3. Screenshots of core features in use.
4. App Store and Google Play submission receipts (or links to published apps).
5. Responsive Website
6. Screenshots or video recordings of the website working across different devices (desktop, mobile, tablet).
7. A live version of the website with full functionality accessible to users.

📌Milestone 4: Back-End Build ( 1 month)

Cost of Milestone 4: 32.2% of Total Budget = 36,000 ADA

This is one of the largest parts of the project getting the decentralized auction platform work.

🍀Milestone outputs

1. Hydra Implementation: Integration of the Hydra Layer-2 scaling solution into the decentralized auction platform to support high-speed, low-cost transactions.
2. Atala Prism DID (Decentralized Identifiers) Integration: Atala Prism integration for issuing and managing decentralized identifiers (DIDs) and verifiable credentials, ensuring secure identity management for users.
3. Smart Contract Deployment: Development and deployment of smart contracts on the Cardano blockchain for handling key auction functions (e.g., auction creation, bidding, finalization, and payments).
4. User Data Model and Onboarding: Development and integration of a user data model to support seamless onboarding with DIDs and verifiable credentials.
5. Blockchain and Transaction Management: On-chain transaction management, including the recording and validation of auction activities, bids, and transfers on the Cardano blockchain.
6. API Development: Development of APIs to connect the front-end interface with the back-end systems, enabling smooth communication between the platform, users, and blockchain components.

🍀Acceptance criteria

1. Hydra Integration Functional: Hydra Layer-2 is fully integrated, allowing for high-throughput, low-latency auction transactions with successful test runs for real-world auction activities.
2. Atala Prism Integration Functional: Atala Prism is successfully integrated, and users can register, issue, and manage DIDs and verifiable credentials on the platform.
3. Smart Contracts Deployed and Tested: Smart contracts are successfully deployed to the Cardano blockchain, tested for all key functionalities (auction creation, bidding, finalization, and payments), and are operational.
4. User Data Model and Onboarding Process Working: The user onboarding process is live, allowing users to create profiles using DIDs and verifiable credentials, with data stored securely in the platform.
5. APIs Fully Functional: APIs connecting the back-end to the front-end are tested and operational, allowing for smooth interaction between the platform and blockchain for auction activities.

🍀Evidence of milestone completion

1. Hydra Integration Proof: Transaction logs or test results showing the successful operation of Hydra in managing auction transactions at high throughput.
2. Atala Prism Integration Proof: Screenshots or a video demo showing user registration, DID issuance, and verifiable credentials management on the platform using Atala Prism.
3. Smart Contract Source Code and Test Results: Source code available on GitHub or a similar repository, along with documentation of successful tests for all auction-related functions (auction creation, bidding, finalization, and payments).
4. User Onboarding Demo: A video demo or test results demonstrating the user onboarding process, including the use of DIDs and verifiable credentials for secure registration and login.
5. API Documentation and Test Results: Detailed API documentation stored in a version-controlled system (e.g., GitHub), including test results that verify seamless communication between the front-end and back-end systems.

📌Final Milestone: Golive

🍀Cost of Milestone 4: 24.7% of Total Budget = 27,500 ADA

🍀Milestone outputs

1. Published Mobile Apps: Two fully functional mobile apps (iOS and Android) published on the Apple App Store and Google Play Store, available for download by the public.
2. Responsive Website: A fully operational and responsive website that supports auction functionalities, user registration, and platform interaction across different devices (desktop, tablet, mobile).
3. Quality Assurance (QA) & User Acceptance Testing (UAT): Completion of comprehensive QA and UAT, identifying and resolving bugs or issues related to functionality, performance, and user experience.
4. Bug Fixes and Enhancements: Final bug fixes and platform enhancements based on testing results and community feedback.
5. Security Audit Report: Final security audit report, verifying that the system (including smart contracts, back-end, and front-end) is secure and free from vulnerabilities.
6. User Guides and Training Documentation: Comprehensive training materials, including user guides and platform walkthroughs, designed for users, administrators, and stakeholders.
7. Project Close-Out Report: A detailed project close-out report summarizing the entire development process, key milestones, challenges, resolutions, and future recommendations.
8. Go-Live Video: A recorded video documenting the go-live process, showcasing the key features of the platform, and including user testimonials and feedback.

🍀Acceptance criteria

1. Published Mobile Apps: Both mobile apps (iOS and Android) are live on the Apple App Store and Google Play, accessible to users with all core auction functionalities intact and operational.
2. Responsive Website Live: The responsive website is live, fully functional, and optimized for multiple devices (desktop, mobile, tablet).
3. Successful QA/UAT Testing: Completion of QA and UAT, with all critical issues resolved, and a final report showing a pass for all key functionalities and performance tests.
4. Bug Fixes Implemented: All critical bugs identified during testing are fixed, and the platform is stable with no major outstanding issues.
5. Security Audit Passed: A final security audit report is provided by a third-party auditing company (e.g., CertiK, Hacken), verifying that the system is secure and meets security best practices.
6. User Training and Documentation Published: User guides, training manuals, and other instructional materials are complete, accessible, and distributed to users and administrators.
7. Project Close-Out Report Approved: The project close-out report is completed and approved by the Cardano community, documenting all project phases, achievements, and lessons learned.
8. Go-Live Video Published: The go-live video is completed and published, showcasing the platform’s launch and demonstrating key features to the public.

🍀Evidence of milestone completion

1. App Store and Google Play Listings: Links to the published mobile apps on the Apple App Store and Google Play, along with screenshots and submission receipts.
2. Live Website Link: A live URL to the responsive website with evidence of functionality across different devices.
3. QA/UAT Testing Report: A formal report detailing the QA and UAT processes, including testing results, bug tracking, and evidence that all critical issues were resolved.
4. Bug Fixes Documentation: A list of identified bugs, the fixes implemented, and evidence that all critical issues have been addressed.
5. Security Audit Report: A detailed report from the third-party security auditing company (e.g., CertiK, Hacken..), verifying that the system is secure and has passed all required tests.
6. Training and User Guides: Copies or links to the published user guides and training materials, along with proof of distribution to stakeholders and users.
7. Project Close-Out Report: The finalized project close-out report, reviewed and approved by the Cardano community.
8. Go-Live Video: A link to the published go-live video, highlighting the platform launch, key features, and user feedback.

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

📌Dr. Le Minh Tuan ( Proposer)

🍀Title & Experience

• CEO & Founder at KOET.
• Lecturer at Hanoi Open University and FPT Univerity.
• Vietnam Managing Director at MediaMonks, a world-leading digital transformation consultancy and implementation company.
• Mobile Application Ecosystem Director at Nokia Indochina
• Application Ecosystem Director at Microsoft Vietnam
• CTO at Vincom Retail
• CTO at TMS Group
• Ex-Research Scientist at Politecnico di Torino and Istituto Superiore Mario Boella, Italy.

🍀Contact Point

• Linkedin: https://www.linkedin.com/in/minh-tuan-le-9210448/
• Telegram: @tuanle0810
• Email: tuan.le@koet.com.vn

🍀Role: Project Manager

📌Ms. Do Thi Hong Hanh

🍀Title & Experience

• CEO & Co-Founder at Lac Viet Auction House.
• Vietnam Government-authorized and Certified Auctioneer since 2007.
• Author of the patented Auction Platform

🍀Contact Point

• Facebook: https://www.facebook.com/hong.hanh.16547
• Email: hanh.do@lacvietauction.vn

🍀Role: Business Development Manager

📌Mr. Nguyen Trong Hung ( Harry Nguyen)

🍀Title & Experience

• CEO at Digital Innovation
• CEO at Lac Viet Online
• Senior Software Engineer at Mitrais
• 8 years experience in Software Development and blockchain technology
• Author of the patented Auction Platform

🍀Contact Point

• Liniedin: https://vn.linkedin.com/in/nguyen-trong-hung
• Email: hung.nguyen@lacviet.io

🍀Role: CTO & Full-stack Developer

📌Mr. Nguyen Duy Khanh

🍀Title & Experience

• Full-stack developer
• 3 years experience in Cardano blockchain

🍀Contact Point

• Telegram: @khanhnguyen1711
• Email: khanh.nguyen@koet.com.vn

🍀Role: Full-stack Developer

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

📌Very Competitive Rates for All Roles

The rate card is optimized at a low cost as we are using mix local developers and students.

• Blockchain Developers: $40/hr
• Frontend Developers: $35/hr
• Backend Developers: $40/hr
• UI/UX Designers: $35/hr
• Project Manager: $45/hr
• Test Engineers: $25/hr
• Marketing Specialists: $50/hr
• Community Managers: $35/hr
• Business Development Specialists: $50/hr
• Legal Advisors: $100/hr

📌Cost breakdown of the proposed work

📌Total Budget & Costs = $44,600 ~ 111.500 ADA (USD/ADA Rate = 0.4)

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

The proposed costs for developing the decentralized auction platform are carefully calculated to ensure they represent value for money for the Cardano ecosystem. Below, we provide detailed context about the costs, justify the expenditures with industry standards, and highlight innovative ideas that emphasize the value this project brings to the Cardano community.

📌Context and Justification of Costs

🍀Competitive Industry Rates:

• Blockchain Developers ($40/hr): This rate is in line with industry standards for skilled blockchain developers. Given the complexity and specialization required in blockchain technology, this rate ensures we attract top talent capable of delivering a secure and efficient platform.
• Frontend Developers ($35/hr): Frontend development is crucial for creating a user-friendly interface. Our rate ensures we hire experienced developers who can design an intuitive and engaging user experience.
• Backend Developers ($40/hr): Backend development supports the platform’s core functionalities. This rate aligns with industry averages for experienced backend developers who can ensure robust and scalable backend infrastructure.
• UI/UX Designers ($35/hr): Quality user interface and experience design are essential for user satisfaction. Our rate is competitive and ensures we engage designers who can create a seamless and appealing user interface.
• Project Managers ($45/hr): Effective project management is key to delivering the project on time and within budget. This rate ensures we hire experienced managers who can coordinate the project efficiently.
• Test Engineers ($25/hr): Testing is crucial for identifying and fixing issues before launch. This rate is competitive for experienced test engineers who ensure the platform's reliability.
• Marketing Specialists ($50/hr): Effective marketing is essential for user acquisition and community engagement. This rate reflects the expertise required to execute successful marketing campaigns.
• Community Managers ($35/hr): Engaging and supporting the community is vital for the platform’s success. This rate ensures we hire skilled community managers who can foster a strong and active user base.
• Business Development Specialists ($50/hr): Forming strategic partnerships and expanding the platform’s reach require experienced professionals. This rate aligns with industry standards.
• Legal Advisors ($100/hr): Ensuring compliance with regulations and protecting the platform legally requires experienced legal advisors. This rate is justified by the high level of expertise required.

🍀Proportional to Average Wages and Freelance Rates:

• The rates listed are proportional to the average wages and typical freelance rates in the tech industry. These rates are competitive yet fair, ensuring we attract and retain high-quality talent necessary for the project's success.
• For instance, the average hourly rate for blockchain developers in the United States ranges from $50 to $150, depending on experience and specialization. Our rate of $40/hr ensures we remain competitive while managing costs effectively.
• Similarly, the rates for frontend and backend developers, UI/UX designers, and other roles are set based on current market standards, ensuring we offer value for money without compromising on quality.

🍀Innovative Cost Management Strategies:

• Milestone-Based Payments: Payments are structured around milestones, ensuring funds are released only upon achieving specific objectives. This approach minimizes risk and ensures accountability.
• Resource Optimization: By carefully planning the project timeline and headcounts, we optimize the use of resources, preventing overallocation and ensuring efficient use of funds.
• Leverage of Remote Work: Leveraging remote work allows us to tap into a global talent pool, potentially reducing costs without compromising on quality.

📌Unique Value for the Cardano Ecosystem & KPIs

To assess the effectiveness of the project and maximize value for money, we measure key metrics:

🍀Product Development and Quality

• CSAT (Customer Satisfaction Score) measures product quality based on customer feedback, typically using a rating scale. Higher scores indicate better satisfaction, making it a quick indicator of how well the product meets customer expectations.
• Timely Delivery – Confirms the product is delivered as planned.

🍀Contributes to the growth of Cardano

• Accumulated Total Value Locked (TVL): tracks the total value of assets deposited in the Auction platform over time, showing its long-term growth and usage. It's a key metric for measuring a platform's popularity and trust.
• Number of non-crypto users converted to crypto users: metric measures how many individuals, who previously had no experience or involvement with cryptocurrency, have been successfully transitioned into active crypto users. This metric is important for tracking user adoption and growth within the crypto space, indicating the success of efforts aimed at onboarding new users into the ecosystem.
• Training and Demo Attendance: Measuring the level of interest in the new auction platform.

🍀Contributes to the long-term growth

• Research Collaboration Metric: Measures the number of research papers published through industry-academic collaboration.

📌Value for Money

🍀Catalyst Investment

• $44,600 ~ 111.500 ADA (USD/ADA Rate = 0.4).

🍀Return on the Investment

• Product Development and Quality
• CSAT (Customer Satisfaction Score): 9.5/10
• Timely Delivery: 6 months

• Contributes to the growth of Cardano
• Accumulated Total Value Locked (TVL): 5.000.000 ADA
• Number of non-crypto users converted to crypto users: 10.000+ users
• Training and Demo Attendance: 100+ people

• Contributes to the long-term growth
• Research Collaboration Metric: Publish at least one research paper in an international journal or conference