Open Source Integration of Hummingbot with Cardano for Enhanced DeFi Liquidity

[GENERAL] Name and surname of main applicant

Shay Gammer

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

Individual

[GENERAL] Co proposers and Additional applicants

Nelson Kshetrimayum

Roberto Mayen-Hess

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

9

[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 integrate Hummingbot into Cardano's DeFi ecosystem for enhanced tools, fostering engagement and competitiveness.

[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

The project output will be licensed under http://www.apache.org/licenses/LICENSE-2.0 to ensure accessibility and transparency for the Cardano and Hummingbot communities.

[SOLUTION] Please describe your proposed solution.

Our proposal involves developing an open-source extension to the Hummingbot gateway to facilitate the connection between Hummingbot and Cardano's DeFi applications. This integration will provide developers and traders with a standardized toolset, encouraging liquidity provision and enhancing trading efficiency within the Cardano ecosystem.

Hummingbot is a proven tool in the crypto trading sphere. By creating a functional connection between Hummingbot and Cardano's DEXs, we aim to provide a streamlined and accessible approach for liquidity providers and market makers, enhancing trading efficiency and fostering a robust DeFi environment on Cardano.

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

The successful integration of Hummingbot with Cardano's DeFi ecosystem will significantly enhance the trading experience, liquidity provision, and efficiency within the Cardano blockchain. By providing a standardized gateway between Hummingbot—a proven and widely-used tool in crypto trading—and Cardano's decentralized exchanges (DEXs), the project aims to increase liquidity, attract sophisticated traders, and bolster the development of a robust DeFi environment on the Cardano network.

Measuring Impact:

• Tracking trading volume and TVL increase on integrated DEXs
• Analyzing the growth in the number of active traders utilizing the integrated solution

The outputs of this project will become an integral part of the Hummingbot codebase

[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?

The project team brings extensive expertise in DeFi strategies and software development. With a background in managing a DeFi-focused hedge fund and hands-on experience with Hummingbot, the team holds a profound understanding of DeFi intricacies.

Our team's collective experience extends beyond DeFi strategies and encompasses a successful history of delivering impactful projects in various technological domains. Leveraging our robust skills in software development, project management, and strategic planning, we possess the necessary competence to navigate complex integrations and deliver outcomes effectively.

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

Hummingbot-Cardano Gateway Design & Specification

 

Initiate the project by designing the blueprint and specifications for the Hummingbot-Cardano gateway. This involves identifying the target DEXs for integration, outlining integration requirements, and establishing a detailed project plan.

3 weeks, 15k ADA

Deliverables:

• Names of target DEXs to be integrated - one Spot DEX and one Perpetual Futures DEX
• A detailed project plan
• A template configuration file with identified integration parameters

Development of Hummingbot Connector for a Spot DEX

Begin the development phase to create a specialized Hummingbot connector tailored for seamless interaction with Cardano's leading spot decentralized exchange (DEX). This connector will serve as reference implementation for other spot DEX connectors.

 

4 weeks, 25k ADA

Deliverables:

·      Initial codebase for the Hummingbot-Cardano spot DEX connector

·      Configuration documentation and integration guidelines for the spot connector

·      Preliminary test reports on the functionality of the spot connector

Testing and Refinement - Hummingbot Connector for Spot DEX

Rigorously test the functionality of the Hummingbot connector designed for Cardano's spot DEX. Address any issues and refine the integration for optimal performance.

 

4 weeks, 25k ADA

 

Deliverables:

·      Testing reports highlighting the functionality and identified issues of the spot DEX connector

·      Refined codebase addressing identified issues and improving performance

·      Updated integration documentation based on refinements

Development of Hummingbot Connector for Perpetual Futures DEX

Initiate the development phase to create a specialized Hummingbot connector tailored for seamless interaction with Cardano's perpetual futures decentralized exchange (DEX). This connector will serve as reference implementation for other perpetual futures DEX connectors.

 

4 weeks, 25k ADA

 

Deliverables:

·      Initial codebase for the Hummingbot-Cardano perpetual futures DEX connector

·      Configuration documentation and integration guidelines for the perpetual futures connector

Testing and Refinement - Hummingbot Connector for Perpetual Futures DEX

Description: Rigorously test the functionality of the Hummingbot connector designed for Cardano's perpetual futures DEX. Address any issues and refine the integration for optimal performance.

 

4 weeks, 25k ADA

 

Deliverables:

·      Testing reports highlighting the functionality and identified issues of the perpetual futures DEX connector

·      Refined codebase addressing identified issues and improving performance

·      Updated integration documentation based on refinements

Submission to Hummingbot Codebase, Documentation and Support

 

Culminate the project by submitting the completed Hummingbot connectors designed for both Cardano's spot and perpetual futures DEX to the Hummingbot codebase for disseminations. Additionally, compile comprehensive documentation to guide users and developers in effectively utilizing these connectors. Engage with the Cardano and Hummingbot communities to promote the usage of the connector and provide ongoing support.

3 weeks, 35k ADA

(support will be provided by the team for additional 3 month after the project's completion)

Deliverables:

·      Completed Hummingbot connectors for Cardano's spot and perpetual futures DEX

·      Documentation submitted to the Hummingbot codebase detailing installation, configuration, and usage of the connectors

·      Final project completion report summarizing the project's journey, challenges faced, solutions implemented, and key learnings

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

Shay Gammer - Project Lead and Strategy Specialist

An experienced professional with extensive software development and decentralized finance (DeFi) strategies experience. With a background in managing and automating DeFi strategies, Shay brings expertise in strategic planning, software development, and project management. Responsible for Project management, and the development of trading strategies for validation and testing

https://www.linkedin.com/in/shay-gammer-8046966/

Nelson Kshetrimayum - Software Developer

A skilled software developer with proficiency in coding and software engineering. With a background in developing similar integrations, Nelson brings technical expertise and a keen eye for detail to the team. Responsible for implementing software solutions aligned with project requirements and ensuring the technical aspects of the integration are executed effectively.

https://www.linkedin.com/in/nelsonksh/

Roberto Mayen-Hess - Community Engagement, Documentation & Support

Project lead at Andamio, Roberto brings a diverse skillset encompassing software development, business, program management, and law. Specializing in community engagement, documentation, and support, Roberto will play a pivotal role in engaging the wider community. With a passion for fostering collaboration and interaction, Roberto will manage communications, facilitates discussions, and provides documentation and support to ensure a collaborative and informed community engagement throughout the project lifecycle.

https://www.linkedin.com/in/roberto-mayen-hess/

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

Milestone 1: Design & Specification

• Research(DEX Identification): 2,500 ADA
• Project Lead & Community Manager ~10 hours
• Project Planning & Blueprint: 12,500 ADA
• Project Lead ~40 hours
• Software Developer ~10 hours

Total: 15,000 ADA

Milestone 2: Spot DEX Connector Development 25k ADA

• Implementation: 25,000 ADA
• Software Developer ~ 80 hours
• Project Lead/Trading Specialist ~20 hours

Total: 25,000 ADA

Milestone 3: Testing & Refinement - Spot DEX Connector

• Validation & Testing: 15,000 ADA
• Trading Specialist ~ 60 hours
• Refinement: 10,000 ADA
• Software Developer ~ 40 hours

Total: 25,000 ADA

Milestone 4: Perpetual Futures DEX Connector Development

• Implementation: 25,000 ADA
• Software Developer ~ 80 hours
• Project Lead/Trading Specialist ~20 hours

Total: 25,000 ADA

Milestone 5: Testing & Refinement - Perpetual Futures DEX Connector

• Validation & Testing: 15,000 ADA
• Trading Specialist ~ 60 hours
• Refinement: 10,000 ADA
• Software Developer ~ 40 hours

Total: 25,000 ADA

Final Milestone: Submission & Documentation

• Documentation: 5,000 ADA
• Community Manager ~20 hours
• Reporting: 5,000 ADA
• Project Lead ~20 hours
• Community Engagement: 10,000 ADA
• Community Manager ~40 hours
• Ongoing Support: 15,000 ADA
• All Team members ~60 hours

Total: 35,000 ADA

Grand Total 150,000

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

Our project's cost represents a strategic investment aimed at significantly boosting DeFi activity within the Cardano ecosystem. By streamlining the connection between Hummingbot and Cardano's decentralized exchanges (DEXs), we're enabling a more efficient and accessible environment for liquidity providers and traders. This enhancement directly contributes to the growth and maturation of Cardano's DeFi landscape.

The costs outlined in our proposal are carefully calculated to ensure maximum impact in addressing the existing gap in sophisticated DeFi tooling. Through this initiative, we aim to attract more users and liquidity, ultimately driving higher transaction volumes and total value locked (TVL) within Cardano's DeFi ecosystem.

Moreover, the project's costs are justified by the expected outcomes, focusing on improving DeFi competitiveness and establishing Cardano as a vibrant hub for decentralized finance. The value created by fostering a more active and liquid DeFi ecosystem on Cardano will far exceed the initial investment, paving the way for sustainable growth and broader adoption of decentralized financial services on the platform.

Our team's extensive experience in managing DeFi-focused strategies and hands-on involvement with Hummingbot positions us to ensure that the funds are allocated prudently to achieve tangible results. The ultimate goal is to drive long-term value for the Cardano community, making DeFi activities more attractive, accessible, and secure.

[IMPORTANT NOTE] The Applicant agrees to Fund 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