AdaLink: Frenchie DEX - A True Orderbook Decentralized Exchange

[GENERAL] Name and surname of main applicant

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

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

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

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

We will develop Frenchie DEX, a low-fee, batcher-free, fully decentralized exchange on Cardano.

[GENERAL] Does your project have any dependencies on other organizations, technical or otherwise?

[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?

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

While we value the principles of open source, FrenchieDex will initially keep core components proprietary to establish a strong brand identity and ensure platform stability. We plan to gradually open source certain elements, such as specific smart contract modules and APIs. This phased approach allows us to refine the platform while contributing to the Cardano ecosystem, balancing innovation with strategic growth.

[SOLUTION] Please describe your proposed solution

Frenchie DEX is a decentralized and permissionless exchange for assets and tokens running directly on the Cardano ledger as a single smart contract. We operate entirely through a single smart contract to eliminate the need for third parties, providing true decentralization and ensuring a secure and transparent trading environment.

Why it stands out?

Unlike most DEXs, which often use Automated Market Makers (AMMs) and in turn has to employ third-party entity "Batchers", Frenchie DEX operates directly on the Cardano ledger as a single smart contract. This eliminates the need for intermediaries, improving both decentralization and security. Even though some DEXs open source their batching process, it is still susceptible to front-running. Frenchie DEX sidesteps this issue by utilizing Cardano's innate decentralization.

What to Expect?

Frenchie DEX achieves what web2 exchanges (e.g., Binance, Coinbase) strive to accomplish, but with two key differences: decentralization and speed. While CEXs have rapid response times of 20 to 40 milliseconds for ledger updates, Frenchie DEX leverages Cardano's ledger, resulting in an average of 20-second refresh rate.

This is not a shortcoming but a reflection of Cardano's decentralized nature. As Cardano evolves, the refresh rate of Frenchie DEX improves. Hence, during high-traffic moments, some transactions may fail as multiple users attempt to claim the same order within a single block time. This challenge decreases with smaller block times, unlike the case with Web2-based exchanges.

A second key point is the reduced flexibility to introduce as many inputs compared to normal transactions. One crucial aspect to highlight is the inefficiency in IOHK's design of the Extended UTXO (eUTXO) model regarding smart contract utilization. This inefficiency becomes evident when considering the requirement to include or reference a smart contract for each input, even if multiple inputs share the same smart contract. Such a suboptimal approach impedes a fundamental advantage of the UTXO model, which is the ability to utilize numerous inputs and outputs within a single transaction. A more effective approach would involve referencing the smart contract only once, akin to how standard signing keys are referenced.

Despite these challenges, Frenchie DEX stands as a testament to innovation and forward-thinking in the blockchain space. Our commitment to prioritizing decentralization and trustlessness, while leveraging Cardano's advanced technology, not only sets us apart but also aligns us with the true ethos of DeFi. As we continue to refine our platform, we remain focused on providing our users with a secure, efficient, and user-friendly trading experience.

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

The Frenchie DEX project will benefit the Cardano community by offering an easy-to-use and straightforward trading platform. This approach is designed to attract and onboard new users, fostering growth within the Cardano ecosystem while maintaining its core principle of decentralization. Our project's success will add value to the Cardano Community in several key areas:

1. User-Friendly Interface: By focusing on simplicity and ease of use, Frenchie DEX will lower the entry barrier for new users, expanding the Cardano community.    
2. Decentralization and Security: Operating directly on the Cardano ledger, Frenchie DEX upholds the blockchain's commitment to decentralization and security, improving trust and reliability.     
3. Community Growth and Engagement: The platform will serve as a gateway for newcomers to the Cardano ecosystem, increasing user engagement and participation.

Impact Measurement:

· We will monitor metrics such as new user adoption rate, transaction volume, and overall user activity on Frenchie DEX.

· User feedback and surveys will be conducted to gather qualitative data.

Project's Progress:

· Regular updates and insights will be shared through forums, github, social media, and our website.

· Collaborations with other Cardano projects and community initiatives will be pursued to maximize outreach.

In summary, Frenchie DEX is not just a trading platform; it's a tool for community expansion and engagement, designed to make the Cardano ecosystem more accessible and appealing to a broader audience.

[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?

To provide a clearer understanding of our project's feasibility, we encourage you to visit our prototype at Frenchie DEX (https://test-frenchiedex.adalink.io/). This early version reflects our team's commitment and ongoing efforts to develop the Frenchie DEX project responsibly. Here's how we validate our approach and ensure feasibility:

1. Experienced Team: Our team has experience in blockchain technology, software development, and project management.
2. Community Engagement and Feedback: We maintain an open line of communication with the Cardano community, gathering feedback and suggestions.
3. Robust Project Roadmap: Our strategy focuses on creating an easy-to-use platform, targeting both casual traders and newcomers to the Cardano ecosystem.

In conclusion, our combination of technical expertise, experience, community engagement, transparency, and robust project management practices positions us ideally to deliver the Frenchie DEX project with high levels of trust and accountability. Our approach is not just about building a platform; it's about fostering a secure, efficient, and community-driven trading environment within the Cardano ecosystem.

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

Refinement of MVP

Output:

· Optimized UI/UX design for existing MVP.

· Optimization of database architecture.

Acceptance Criteria:

· Updated UI/UX design documents and wireframes.

· Revised database architecture plan.

Evidence of milestone completion:

1) A link to the published MVP UI/UX design and wireframes document

2) A link to the published database architecture plan document

Beta Testing

Output:

Beta testing feedback report and adjustments made.

Acceptance Criteria:

Comprehensive beta testing with a broader user base.

Evidence of milestone completion:

A link to the published beta testing report document

Advanced Development

Output:

Integration of advanced features like trading charts, order history, and wallet token portfolio.

Acceptance Criteria:

Functioning MVP with new features in a test environment.

Evidence of milestone completion:

A link to the published MVP with added functionalities in a test environment.

Mobile Version and Treasury Design

Output:

· Development and integration of Mobile Version.

· Design of treasury functionalities, including a dashboard that displays treasury funds, and the design of a mechanism to validate the distribution of voting rewards using NFTs.

Acceptance Criteria:

· Functional mobile version.

· Comprehensive development plan for the mechanism to enable voting rewards distribution.

Evidence of milestone completion:

1) A link to the published mobile MVP in a test environment.

2) A link to the published Treasury Design Document

Final Development and Testing

Output:

· Extensive testing, including smart contract functionality.

· Comprehensive Analysis and Readiness Assessment for Mainnet Launch. 

Acceptance Criteria:

· Code repository of the finalized platform.

· Comprehensive test results, including smart contract testing.

· Report on the platform's readiness for a complete Mainnet launch.

Evidence of milestone completion:

1) A link to the published final testing report document.

2) A link to the code repository

Final Report

Output:

Final project report and Demo video.

Acceptance Criteria:

· Detailed project report covering the entire development process.

· Video showcasing the platform's features.

Evidence of milestone completion:

1) A link to the final report document.

2) A link to the close-out video

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

Team

Our team comprises experienced professionals with diverse backgrounds and skills, each contributing to different aspects of the project.

Lead Developer: Mahmoud Nimer, a Mechanical Engineer with a Master of Science degree in Control Systems and Robotics, has extensive experience in industrial automation engineering. As a Plutus Pioneer, Mahmoud has been an active builder in the Cardano ecosystem and is the founder of Shrooms, a platform that provides specialized services for non-fungible token projects (NFTs), including non-custodial staking, raffles, and token ATMs.

Project Lead: Natalia Rosa, with a Bachelor of Science Degree in Film, brings over a decade of experience working, directing and supervising production departments for various film, television, and multimedia promotional campaigns. She has worked on award-winning projects and with renowned artists. Natalia will leverage her expertise in project management and multimedia production for AdaLink.

LinkedIn

Project Lead and Community Manager: Gisela Rosa is the co-founder of Blockverse Media, Inc., a company that develops various crypto products, including AdaLink and La Cryptoría. Since epoch 259, she has been a strong supporter of multiple projects built on Cardano, consistently promoting Cardano's values within the community.

Known as Arcella on CT, Gisela is not only a professional musician with over 10 years of experience but also an educator who has collaborated with world-renowned and emerging artists. Her profound understanding of the Cardano ecosystem enables us to cultivate a welcoming and inclusive environment. With her guidance, AdaLink can become a platform that truly comprehends and serves the needs of the Cardano community.

Socials

Project Advisor: Bryan Hernández is a software engineer with a Bachelor of Science in Electrical Engineering from the Inter American University of Puerto Rico. He co-founded Blockverse Media, the parent company of AdaLink, and has extensive experience in the aerospace manufacturing industry.

Currently, Bryan serves as a Software Automation Engineer in the healthcare sector, where he continues to leverage his technical skills and problem-solving abilities. His passion for emerging technologies, including cryptocurrency and video games, as well as his love for the arts, music, and anime, fuels his innovative approach to challenges. With his guidance, he will assess and provide expert advice as needed, ready to contribute to the successful completion of the project.

LinkedIn

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

1.Development (8 Months - Full Time ) 132,000 ADA (~$58,400 USD)

Frontend Development: Involves UI/UX design, data integration, and testing, focusing on creating a user-friendly interface and ensuring comprehensive functionality.

Mobile Version Development: UI/UX design for mobile devices, ensuring cross-platform compatibility, and extensive testing for a seamless mobile experience.

Treasury Reward Distribution Development Plan: Design of treasury features, including a treasury dashboard and a user voting mechanism for user engagement and decision-making.

2.Project Management 80,500 ADA (~$35,700 USD)

Covers the administrative expenses associated with managing the project.

3.Basic Marketing 42,000 ADA (~$18,600 USD)

Essential marketing and promotional activities such as social media advertising, content/media creation, and community engagement to increase platform awareness within the Cardano community.

4.Smart Contract Audit 15,600 ADA (~$6,900 USD)

A comprehensive audit of the smart contracts to ensure security, efficiency, and adherence to best practices, critical for maintaining the integrity and reliability of the platform.

5.Legal Expenses 26,000 ADA (~$11,500 USD)

Includes the costs associated with legal services, consultations, and any other legal requirements of the project.

Total Budget: 296,100 ADA

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

Frenchie DEX represents value for money for the Cardano ecosystem by improving security, promoting decentralization, expanding the user base, and aligning with the Cardano's core principles. Its long-term approach for growth and improvement signifies a valuable contribution to the ecosystem’s evolution and sustainability.

1. Innovative Decentralization Approach: Frenchie DEX's unique model of operating directly on the Cardano ledger as a single smart contract sets it apart from other DEXs. This approach eliminates the need for intermediaries like "Batchers," commonly used in Automated Market Makers (AMMs
2. Alignment with Cardano’s Principles: Operating in line with Cardano's core principles of decentralization and security, Frenchie DEX reinforces these values within the ecosystem. This alignment helps maintain the integrity and trust in the Cardano blockchain, attracting more users and developers.
3. Community and Ecosystem Growth: By offering the lowest fees in the Cardano ecosystem, it provides value for everyone. Furthermore, a portion of the DEX revenue will be reinvested into the Frenchie community treasury, supporting various Cardano marketing initiatives. This strategy of reinvestment and support for the creators' ecosystem makes Frenchie DEX more than just a trading platform; it's a fundamental tool for ecosystem growth and community engagement.