Smart Contract based On-chain Random Number Generation (RNG) Library

[GENERAL] Name and surname of main applicant

Sricharan Ganta

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

Entity (Incorporated)

[GENERAL] Requested funds in ada

80000

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

4

[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)

Creating an on-chain Random Number Generation (RNG) Library delivers a verifiable & transparent way to ensure randomization. This functionality is crucial for the ecosystem (Gaming, DeFi, Rewards)

[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 will be open source under MIT License. This will allow anyone to do whatever they wish with the original code, as long as the original copyright and license notice is included either in the distributed source code or software.

[METADATA] SDG rating

SDG Goals

8 - Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

9 - Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation

17 - Strengthen the means of implementation and revitalize the Global Partnership for Sustainable Development

SDG Subgoals

17.19 - By 2030, build on existing initiatives to develop measurements of progress on sustainable development that complement gross domestic product, and support statistical capacity-building in developing countries

9.1 - Develop quality, reliable, sustainable and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being, with a focus on affordable and equitable access for all

9.b - Support domestic technology development, research and innovation in developing countries, including by ensuring a conducive policy environment for, inter alia, industrial diversification and value addition to commodities

[SOLUTION] Please describe your proposed solution.

Our proposed solution is centered on developing an On-chain Random Number Generation (RNG) Library for the Cardano ecosystem, addressing a critical gap: the absence of a reliable and verifiable source of randomness within smart contracts and decentralized applications (dApps) on Cardano.

Currently, a majority of dApps and protocols, which handle hundreds of thousands of dollars' worth of assets – and potentially millions as Cardano grows – rely on random number generation. These either use off-chain libraries or smart contracts deployed on other blockchains. Such an approach raises concerns regarding fairness and transparency

The lack of a dependable, Cardano-native, on-chain source of randomness poses significant challenges, particularly in sectors like gaming and gambling, where fairness and transparency are paramount. Our strategy involves constructing a robust, decentralized On-chain Random Number Generation (RNG) Library. This library will capitalize on Cardano's infrastructure to provide a secure, tamper-resistant source of randomness for smart contracts and dApps

This project engages developers, smart contract creators, and dApp enthusiasts within the Cardano community. By providing a foundational tool like the On-chain Random Number Generation Library, we empower these stakeholders to create more innovative, fair, and secure applications. This library will serve as a fundamental building block, enhancing the ecosystem's reliability and attracting more users and developers to Cardano. Below are few of the core areas:

1. Web3 Gaming: RNG ensures fairness and unpredictability in game mechanics and events

2. NFT Creation and Distribution: RNG is used to determine the unique attributes and rarity of NFTs, enhancing their value and distinctiveness.

3. Lucky Draws and DeFi: RNG is crucial for equitable reward distribution in lucky draws and gamified DeFi applications.

4. Marketing Campaigns and Loyalty Rewards: RNG enables random selection of participants, ensuring unbiased distribution of rewards in loyalty and marketing programs.

5. Fair Selection and Ordering Processes: RNG facilitates fair selection in high-demand scenarios, guaranteeing impartial processes.

6. Authentication and Security: RNG contributes to system security by generating unpredictable cryptographic values.

and many more...

Our impact will be demonstrated through the successful implementation and integration of this library within Cardano's ecosystem. We will conduct thorough testing, and documentation to ensure its functionality, security, and ease of integration. Furthermore, we'll collaborate with the Cardano community, seeking feedback and actively involving developers to validate its usability and effectiveness. 

Progress and community engagement will be transparently tracked through GitHub, utilizing metrics such as the number of contributors, forks, and detailed analytics. This approach will provide tangible evidence of the library's adoption and evolution, as well as foster an open-source culture of continuous improvement and collaboration.

What makes our solution unique is its direct contribution to the trustworthiness and fairness of Cardano's ecosystem in a decentralized manner. By enabling transparent and secure randomization within smart contracts and dApps, our solution benefits developers by providing a critical tool for creating reliable applications. Users will experience increased confidence in utilizing services built on Cardano, fostering greater adoption and attracting a wider audience.

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

Value to the Cardano Community:

1. Trust and Reliability: Offering a secure source of randomness enhances trust in Cardano-based applications.
2. Innovation: The randomness library enables the development of diverse, innovative dApps, fostering creativity in the ecosystem.
3. Fairness and Transparency: Ensures fair processes in applications like gaming and gambling, improving user experience.
4. Diverse Use Cases: Broadens Cardano's appeal across various sectors, attracting new industries and communities.

Measuring Impact:

1. Developer Adoption: Monitor the number of developers using the library and the variety of new applications created through github forks, stars and contributors.
2. Community Collaboration: Assess community involvement through contributions and feedback.

Sharing Outputs and Opportunities:

1. Documentation and Education: Provide comprehensive guides and documentation for developers.
2. Tutorials: Create video tutorials to demonstrate the library’s capabilities and engage developers.
3. Open Source Contributions: Share regular updates and encourage community feedback via GitHub and other platforms.

[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 capability of our team to deliver the Smart Contract based Onchain Randomness Library with high trust and accountability is evident through several key factors:

Tested Proof of Concept (POC): We have validated the feasibility of our On-chain Random Number Generation (RNG) concept through a comprehensive POC which was implemented in https://alpha.lottery.lovelaceclub.com/ throughout 21 rounds spanning over 1 year. This approach ensures that our solution is practical, reliable, and well-tested before full-scale implementation, ensuring its technical feasibility and reliability.

Technical Validation: Rigorous testing, including performance evaluations, and scalability assessments, will be conducted. These measures guarantee the library's ability to provide secure and verifiable random number generation within smart contracts on Cardano, ensuring it meets anticipated user demands and maintains robust security standards.

Expertise and Experience: Our team possesses extensive experience in blockchain development and cryptography, providing us with a profound understanding of the complexities involved. We have successfully developed several products within the Cardano ecosystem, including an on-chain randomized lottery protocol (https://alpha.lottery.lovelaceclub.com/), app.nucast.io, and an NFT ticketing solution for the Cardano Summit 2023.

With a collective experience of over 20 years in the blockchain domain, our team is well-equipped with the necessary expertise to develop and deliver this project.

Financial Management:

• Proven Track Record: Our team's experience in successfully handling projects showcases our competence in resource management and achieving project goal.

• Commitment to Transparency: We maintain open communication through consistent updates, reports, and engaging with the community, which builds trust and ensures accountability.

• Rigorous Financial Practices: We follow stringent financial procedures, encompassing meticulous budget planning, routine financial disclosures, and undergoing independent audits for enhanced transparency and reliability.

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

Phase 1: Planning and Design

Duration: 2 weeks

Verifiable Onchain RNG Algorithm Design:

• Design and document Verifiable Onchain RNG Algorithm.
• Make it compatible with existing languages and frameworks.

Smart Contract Design:

• Architect the smart contract for Onchain Random Number Generation.
• Architect the smart contract for Oracle RNG Data Feed.

Project Setup:

• Configure version control systems and collaboration tools.
• Create the initial project structure and repositories.

Phase 2: Development

Duration: 6 weeks

Smart Contract Development:

• Develop smart contract for Onchain RNG and RNG Data Feed Oracle.

Onchain RNG Algorithm Design:

• Implement an Algorithm for Verifiable Onchain RNG

Phase 3 : Testing

Duration: 3 weeks

• Conduct comprehensive testing of smart contracts, backend APIs, and frontend integrations.
• Perform functional, security, and compatibility testing, resolving identified issues promptly.

Phase 4 : Opensourcing

Duration: 2 weeks

• Opensourcing and creating developer documentation.
• Create usage examples.

Final Milestone:

Final Phase : Launch & Marketing

Duration: 2 weeks (initial deployment) and ongoing

Launch and Marketing:

• Launch the Smart Contract based On-chain Random Number Generation (RNG) Library.
• Promote the Library through marketing efforts.
• Gather user feedback for continual enhancements and iterate based on community needs.

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

Sricharan Ganta, CEO @ Nucast

Sricharan is a successful entrepreneur and business development strategist with over seven years of experience in business-driven roles and over four years of experience in the web3 domain. He has a successful track record of delivering innovative products on the Cardano Blockchain. As the CEO of Nucast, Charan is extremely passionate about community building and pioneering solutions. He currently leads a dynamic team of 15+ professionals at Nucast Labs. Additionally, he holds a Masters in Computer Science from the University of Central Missouri, USA.

Adnan Khan, COO @ Nucast

Adnan is an experienced professional in the web3 domain with a strong track record of assisting early-stage startups in building MVPs, managing communities, securing grants, and achieving scalability. His expertise lies in data analytics and web3 development, with a particular focus on on-chain analytics. 

Currently, Adnan serves as a research analyst at GravityX Capital, a prominent web3 institutional fund. He has actively collaborated with leading web3 ecosystems and startups such as dYdX, Polygon, Frontier, Bullieverse, among others. Additionally, Adnan is also a three-time Catalyst winner, having completed and closed all three proposals successfully.

Sam Jeffrey M, CTO @ Nucast

Building tech on Cardano for 3+ years. Worked as Plutus Consultant at Gimbalabs. Awarded the Presidential Award for Innovation 2021 by the Government of India.

Nucast Labs : Successfully built various scalable Cardano dapps. Nucast is proud to host a highly skilled and experienced development team of 15+ members with over 30 years of combined industry experience.

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

Phase 1

Senior Cardano Developer 100 ADA x 50 Hours = 5000 ADA

Smart Contract Developer 100 ADA x 150 Hours = 5000 ADA

Phase 2

Senior Cardano Developer 100 ADA x 150 Hours = 15000 ADA

Smart Contract Developer 100 ADA x 150 Hours = 15000 ADA

Phase 3 -

Senior Cardano Developer 100 ADA x 100 Hours = 10000 ADA

Smart Contract Developer 100 ADA x 100 Hours = 10000 ADA

Phase 4 -

Senior Cardano Developer 100 ADA x 50 Hours = 5000 ADA

Smart Contract Developer 100 ADA x 50 Hours = 5000 ADA

Final Phase -

Smart Contract Developer 100 ADA x 50 Hours = 5000 ADA

Full stack Developer 100 ADA x 50 Hours = 5000 ADA

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

An open source On-chain Random Number Generation (RNG) Library offers great value for the Cardano ecosystem for several reasons:

• Core Infrastructure: It's a key piece of infrastructure enhancing the reliability and functionality of Cardano, supporting a range of applications.

• Innovation Boost: By providing reliable randomness, it enables the creation of diverse dApps, attracting new ideas and talent to the ecosystem.

• Trust and Security: This project improves the trustworthiness and security of Cardano-based applications, crucial in the blockchain industry.

• Cost-Effective Use of Funds: The budget is carefully planned to ensure efficient use of resources, maximizing development without excess costs.

• Proven Team Expertise: Our experienced team's track record in the Cardano ecosystem assures effective and productive use of funds.

This is not just spending, but a strategic investment in Cardano's future, enhancing its capabilities, trust, and appeal in the blockchain space.

[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