Wider accessibility of automatic borrowing - Lenfi Software Development Kit (SDK)

[GENERAL] Name and surname of main applicant

Lukas Armonas, lukas@aada.finance

[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)

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)

Developing a Lenfi SDK to enable direct protocol interaction for users with basic programming skills, ensuring decentralization and greater accessibility.

[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 entire project's outcome can be open source.

[METADATA] SDG rating

SDG 10, SDG 9

[SOLUTION] Please describe your proposed solution.

We identify a critical issue in the current operation of decentralized finance (DeFi) platforms, particularly Lenfi. The reliance on a centralized user interface (UI) for conducting on-chain transactions not only poses a risk of centralization but also limits accessibility and innovation. This goes against the core principles of DeFi and blockchain technology, which aim to democratize finance.

Our Approach:

To combat this, we propose the development of a Software Development Kit (SDK) for Lenfi. This toolkit will empower users with basic programming skills to directly interact with the Lenfi protocol. By bypassing the need for a centralized UI, we aim to foster a truly decentralized ecosystem where innovation and participation are not bottlenecked by technical barriers or centralized control points.

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

The development of the Lenfi SDK will significantly enhance the Cardano ecosystem by creating more efficient markets and increasing on-chain activities. By facilitating easier composability for other projects, it will pave the way for a more interconnected and robust DeFi landscape on the Cardano blockchain. This will not only attract new users and developers but also foster innovation and collaboration within the community. The SDK will serve as a foundational tool that empowers developers to build more diverse and user-friendly applications, contributing to the overall growth and maturity of the Cardano ecosystem.

[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 Lenfi team consists of two highly-skilled Plutus developers that are also fluent in Aiken. While one of them is a founding member of the project, working on it for over 2 years, the other is proficient in writing Aiken-based smart contracts.

You can see an example of our work on app.aada.finance / lenfi.io 

Furthermore, we’ve successfully conducted several token emission events, like Private and Public Sales, and ISPO distribution. 

Currently, our peer-to-peer lending app is the second largest lending protocol by TVL on Cardano: https://defillama.com/chain/Cardano

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

Milestone 1:

Public Github and posted Deno with initial actions of: Deposit/Withdraw/Borrow/Repay/Liquidate

Acceptance Criteria: Are those steps available to reach in Github?

Milestone 2:

Batcher execution actions. SDK user will be able to act as batcher for the protocol when the pool is busy. To execute: Deposit/Withdraw/Borrow/Repay orders for the batcher fee

Acceptance Criteria: Are those steps available to reach in Github?

Milestone 3:

Create Pool/Delete Pool/Delegate to Stake Pool actions added

Acceptance Criteria: Are those steps available to reach in Github?

Milestone 3 (Final one):

Create Pool/Delete Pool/Delegate to Stake Pool actions added

Acceptance Criteria: Are those steps available to reach in Github? Is the library fully set for users?

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

Mantas Andriuska is the co-founder and currently one of the two Aiken smart contract developers on the team. He has appeared in several YouTube and Twitter Space interviews regarding the launch and development of the Aada Finance V1 - the first peer-to-peer lending protocol on Cardano.

Micah Kendall is a main Aiken Smart Contract Developer.

Lukas Armonas is a Digital Marketing expert and Project Manager of Lenfi/Aada Finance. He has appeared in several interviews and is responsible for the documentation, educational, and marketing part of the project.

Ovidijus Dargis is the Operations Manager responsible for creating and implementing business growth strategies to promote the project. He oversees various business activities like partnerships and public relations. 

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

Total Developer Work Hours: 480 hours

Total Funding for Development: 125,000 ADA

Average Hourly Rate:

In ADA: Approximately 260.42 ADA

In USD: Approximately $96.35 (based on the updated exchange rate of 0.37 USD/ADA)

Total Developer Salary:

In ADA: 125,000 ADA

In USD: $46,250 (based on the updated exchange rate of 0.37 USD/ADA)

All funds are dedicated for developer costs. Any other expenses (marketing, publishing) are going to be used from Lenfi Team.

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

The budget of 125,000 ADA for the Lenfi SDK project represents excellent value for money for the Cardano ecosystem by directly contributing to its growth and diversification. This cost is carefully calculated based on the prevailing industry rates for blockchain development, ensuring competitive compensation. Additionally, the investment will yield long-term benefits by enhancing market efficiency, increasing on-chain activities, and fostering a more robust and accessible DeFi landscape on Cardano, far outweighing the initial expenditure.

[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