Crypto Inheritance for Non-Tech Savvy Beneficiaries - Gen Wealth

[GENERAL] Name and surname of main applicant

Rafael Cardoso

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

Entity (Not Incorporated)

[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)

A Trust Minimizing service, that leverages a trustless inheritance protocol, and a contract to assure beneficiaries get their share of the value of your crypto in their bank account. 

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

Yes

[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.”

We have developed the smart contract technology Trustless Dapp for Crypto Inheritance that we will use in the background. However, we need to create the legal contract templates, and we’re dependent on the legal companies we will be working with. We already had a legal firm that gave us the green light for the development of these contracts in Europe, so we know the proposal is Feasible.

[GENERAL] Will your project’s output/s be fully open source?

No

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

We’re not allowed to open source the contract templates according to initial contacts with the legal team, so we cannot open source part of the outputs of the proposal. 

We will search to open source the rest of the proposal for Transparency of the service and to minimize trust in the development of this proposal.

[METADATA] SDG rating

SDG Goals

1 - End poverty in all its forms everywhere -> Focus on assuring there is a way to pass your wealth to your loved ones. Crypto Inheritance donation mechanisms for charities focusing on fighting poverty.

8 - Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all -> Providing inclusive financial solutions for inheritance.

Providing technology that allows for the recovery of billions of dollars in assets

9 - Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation -> Development of transparent, trustless, and decentralized financial infrastructure for asset management and estate management.

[SOLUTION] Please describe your proposed solution

With GenWealth we are building a Trustless Dapp for Crypto Inheritance. This means you can use this Dapp to define rules on how you want to leave your crypto to your heirs, or even create a system for you to recover your crypto in case you lose your seed phrase.

After you're gone, it’s very simple for beneficiaries, they just receive the token you send them, and when the time comes, they just connect their wallet, and sign a transaction to claim their share of your crypto to their wallets. 

However, how about individuals who are not Web 3 savvy, who know nothing about wallets, or worse individuals who are not even tech savvy?

With this proposal we aim to leverage the security, decentralization, and trustless character of this Inheritance Protocol, to create a service that allows you to leave your cryptocurrency even to a family member who knows nothing about cryptocurrency.

How does it work?

You can leverage our inheritance Dapp, to manage your crypto and define your heirs, in a trustless and decentralized manner. 

However, if you have a family member who is not web3 savvy you can use this special inheritance service, which is part trustless and decentralized, and part trust minimizing thanks to aligned incentives.

With this service, we create a contract with your heir where our Team compromises itself, to act on their behalf. This means we will receive the heir token that allows us to claim the crypto once you’re gone, and as part of the contract, we will need to sell this crypto and transfer the gains to the bank account of the heir. 

To align our incentives, and make sure we deliver on the contract, we will be subjected to a clause where if we don’t deliver our part, we will be liable to pay the beneficiary twice the value of that crypto he stands to inherit. 

Currently, this is a trust-minimizing solution, the most trustless solution we can have right now, with our team being subjected to the same rules as the beneficiary, with NO way to access your crypto before you’re gone and then having a clear contract with clear guidelines on how we should act on behalf of that beneficiary. 

As we realize that there is a certain level of trust whenever we are acting on behalf of the beneficiary, we search to align incentives with this liability clause, to give confidence to all parties involved, that the beneficiary will always receive what is rightfully his.

This way, we can create a complete inheritance solution, one that is completely trustless for Web 3 users, and another, that Minimizes Trust through contracts and aligned incentives to guarantee the desired outcome.

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

The GenWealth Inheritance Dapp is solving a huge problem in blockchain.

Billions of Dollars in cryptocurrency have been lost forever due to a lack of a recovery mechanism in case you lose your seed phrase or the lack of a way for your family and heirs to recover your crypto once the inevitable happens.

A great example of, that is Bitcoin where 20% of the supply of Bitcoin is estimated to have been lost forever, as you can see here:

This solution empowers users financially to have even more control over their assets. You are able to self-custody your crypto without needing to trust intermediaries while using our Dapp and you can define how, when, and who can recover your crypto after the inevitable happens.  

With this proposal, besides doing all of the above, we can also leave our crypto wealth to less web3 and tech-savvy individuals, allowing us to have a complete service that covers all our inheritance needs in a trustless and trust-minimizing manner.

If you’re wondering how you can leave your crypto to your parents, or any other non-tech savvy individuals, this is the safest service you can use, not only due to contracts, but also because we leverage a Trustless Dapp in the background without ever having access to your crypto or seed phrase while your alive. It’s easy for the beneficiaries and guarantees they will get access to their share of your crypto and benefit from it.

This is important for mainstream adoption, and for business adoption, and being the first blockchain with a technological solution for this problem and with such a complete service in terms of inheritance and crypto recovery would be a major competitive advantage for the Cardano Blockchain in the process of attracting businesses and mainstream individuals, namely the ones interested in Real World Tokenization.

[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?

Currently, GenWealth is the only Team in a position to deliver this project on Cardano because we have developed the smart contract technology for this trustless crypto inheritance Dapp that will be the backbone of this product.

We’re 100% focused on this niche of crypto inheritance, and with this service, we are able to provide a complete solution for crypto inheritance, one that serves both Web 3 and Web 2 users. 

This service is part of our roadmap, and this Catalyst Grant would allow us to start building it right away.

In terms of accountability, we have been building GenWealth since October 2023, and we’ve invested thousands of dollars and hours to make it happen as everything we’ve built so far has been bootstrapped. Our goal is to build a company that becomes a household name on Cardano and on the wider blockchain as a whole. As such, we are incentivized to make the most out of these funds to get the largest return on investment possible for the growth and success of GenWealth, and consequently Cardano.

In terms of feasibility, we have tested the smart contract technology that will be leveraged by this service and we have the green light from Lawyers in Europe in terms of the legal viability of this proposal. This means we just need to build processes and contracts, something very achievable with the Catalyst Grant.

We will search to be very transparent, showing progress on socials such as Twitter and Discord, keep Catalyst updated with regular reports, and if possible make these regular reports available to the Cardano Community. 

Our team is also the right one for the Job, our CEO has 5 years of experience in Web2 startups and in Leadership roles and has been preparing for such a role, while our CTO has been developing on Cardano for the last 2 years, one of the projects he created was a simpler implementation of a Deadman’s switch protocol featured on awesome-aiken, that inspired the creation of GenWealth. We will be working with experienced and knowledgeable lawyers in the crypto and the inheritance space in the different legislations, to assure this service is in compliance with the law.

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

Legal Research and Scope Definition -> Besides, our contacts with Lawyers in Europe where we already have the green light, we will contact Crypto and Inheritance Lawyers in other legislations, such as Japan, and the United States. From initial findings from the Cardano Eastern Townall, the majority of Japanese ADA holders seem over 60 years old, while the USA is a country with a considerable amount of ADA holders. From our contacts with Lawyers, we will define the scope of the initial countries that will be covered in this proof of concept.

Acceptance Criteria/Evidence -> Documentation from Meetings with Lawyers. Confirm if we can advance with all legislations. Roadmap and Guidelines for the development of this MVP 

Timeline: 1 month

Investment: 12 834 ADA 

Legal Contracts and Templates -> Market and Customer Research within Chosen Legislations to define priorities for potential customers and identify any eventual concerns. Develop the Templates for Legal Contracts in higher demand by potential users.

Acceptance Criteria/Evidence -> Data, Metrics, and Notes from Market and Customer Research. Templates of the Legal Contracts to be used by our Service.

Timeline = 3 months

Investment = 49 734 ADA

Creation of Operational Process  -> Create an internal operational process with guidelines from the legal Team. We should have a clear internal operational service with safeguards for the correct execution of the necessary tasks.

Acceptance Criteria/Evidence -> Succesfully create internal operational process. Documentation regarding the internal operational process. Recording of a successful internal testing of the execution of these processes.

Timeline = 2 months

Investment = 11 734 ADA

Creation of Customer Facing Service -> Consists of the Creation of Interfaces and processes to engage with the customer, make the service available, and get the necessary inputs from the vault owner and beneficiary.

Acceptance Criteria/Evidence -> Definition and creation of customer-facing processes, resources, and Interfaces for Vault Owners and Beneficiaries. Recording internal testing of processes for the vault owner and for the beneficiary. Share documentation with processes.

Timeline: 2 months

Investment: 15 645 ADA

Customer Testing Simulation -> Create a testing simulation, with real potential customers, simulating real use cases but with narrowed timelines. We will need to incentivize users for the time spent in these simulations.

Acceptance Criteria/Evidence-> Completed Simulation with Potential Customers and gathered insights. Share plans, KPI’s, recordings, and outcomes from simulations with customers. Final Report and Video Report of the Proposal

Timeline: 2 months 

Investment: 7556 ADA

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

Rafael - https://www.linkedin.com/in/rafael-cardoso-2b03ba146/

• Experience - 5 years of tech startup experience in the Web2 world. Was exposed to and worked on all of the business-related areas of the project (Business Development, marketing, Strategy, Product, HR).

• Led teams and projects inside the startup, for the last 3 years where he had to manage independent budgets to achieve KPIs.

• Previous experience Leading Marketing for Will Easy, and Online Will Creation Platform.

• Experience and knowledge about blockchain, Web3, and Cardano, researches web3 companies, and creates content on the Cryptocurrency YouTube channel Decentralized Nation. Core Team Member in Web3 project  Deep Funding Academy, a Project Based Learning, onboarding platform for Deep Funding.

• CEO - Responsible for Business Development and Marketing

Ariady Putra - https://www.linkedin.com/in/ariady/

• Experience - has been developing its Cardano Smart Contract skills for the past 2 years. Created the morbid, a deadman’s switch smart contract as featured in Awesome-Aiken.

• Developed the GenWealth Smart Contracts.

• Participated in Cardano Developer courses held by Emurgo and Dapp360.

• Responsible for the Technological Development of the Protocol - CTO

• Certifications:
• Cardano Developer Professional - https://www.credly.com/badges/d40bc004-8d8d-4249-9cd3-cfd79c55f5ac
• Cardano Developer Associate - https://www.credly.com/badges/16206ae2-a403-4751-8efb-2694e2a89d8b
• Others - https://www.credly.com/users/ariady-putra/badges?sort=-state_updated_at&page=1

We will also be hiring different law firms, for the different legislations we will cater to with this proposal.

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

At the date of elaboration of this budget, the price of ADA is 0,45$, and it’s what we will use for conversion.

Milestone 1 - Legal Research and Scope Definition -> Timeline = 1 month

Research and Scope Definition = 5 days x 9 hours x 20$ = 900$

Initial Legal Research Japan = 5 hours X 400$ = 2000$

Initial Legal Research US = 5 hours X $575 = 2875$

Total Investment USD = $5 775

Total Investment ADA = 12 834 ADA 

We estimate a total of a week’s work for legal research and scope definition. We already have the initial legal research for the European Union done, so we won’t need to incur in extra costs.

Costs for Japan -> https://monolith.law/en/crypto-asset-and-blockchain -> Quote we have: 400$ per hour

Costs for the US -> https://onchainaccounting.com/cryptocurrency-lawyer-fee-rates-a-complete/ -> Quote we have: $575 per hour

Milestone 2 - Legal Contracts and Templates -> Timeline = 3 months

Customer Research and Contract Requirements = 22 days x 9 hours X 20$ = 3960$

Legal Contracts Templates Development Europe = 15 hours x $253 = 3795$

Legal Contracts Templates Development Japan = 15 hours X 400$ = 6000$

Legal Contracts Templates Development US = 15 hours X $575 = 8625$

Total Investment= 22 380€

Total Investment ADA = 49 734 ADA

We estimate a month of customer research across the different legislations, and for defining clear contract requirements, as well as the templates that we will create. 

For the development of the templates and operational execution legal guidelines of the contract, we expect 15 hours of work for the legal team, per legislation.

Costs for Europe -> https://www.bierenslaw.com/en/fees - > The Quote we have for Europe 235€, equivalent to $253 dollars per hour.

Milestone 3 - Creation of Operational Process -> Timeline 2 months

Internal Process Creation, Refinement and Testing = 33 days x 8 hours x 20$ = 5280$

 Total Investment ADA = 11 734 ADA

Milestone 4 - Creation of Customer Facing Service ->Timeline: 2 months 

External Service Creation, Refinement and Testing = 44 x 8 hours x20$ = 7040$

Total Investment in ADA = 15 645 ADA

Final Milestone - Customer Testing Simulation -> 3 weeks

Testing Simulation Process Manager -> 15 days x 8 hours x 20$ = 2400$

Reward for Testers -> 200$ X5 = 1000$

Total Investment = 3400$

Total Investment in ADA = 7556 ADA 

Total ADA Investment for the Entire Proposal= 97 503 ADA

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

This proposal represents value for money, as it will provide every user of Cardano, with a clear and transparent way to be able to leave their Crypto wealth to their family, even to those members that are not Web 3 Savvy or Tech Savvy. 

It will be part of a solution to solve a several billion-dollar issue, of cryptocurrency recovery by providing a secure and trustless solution to keep Cryptocurrency and NFTs from getting locked in wallets and lost Forever.

Creates a service that is safer than using any other 3rd party services or intermediaries, because you never share your seed phrase or access to your crypto with anyone while you’re alive, which reduces risk for the users.

This investment will allow users to have more control over their assets and creates a new use case and functionality where non-tech-savvy users will be able to safely claim and get the value of the Crypto they stand to Earn, without the need for Trust.

With Cardano having a recovery system for cryptocurrency and NFTs that cater to all beneficiaries regardless of their level of technological savvy, Cardano has a clear competitive advantage over other Blockchains, one that can attract more users and institutional adoption.

This is a service that is needed for the Tokenization of Real World Assets, and by having this solution, Cardano becomes better positioned as a Blockchain for projects and institutions working in this crypto niche.

Finally, this proposal is a good value for money because while we are hiring experts to make sure we have a robust product, that respects and complies with legislation, we are also getting competitive quotes, considering the innovative character of this endeavor, and trying to keep the costs down, as you can see by our budget.